Section DC 15 — Income Tax Act 2007: Some definitions

DC 15 Some definitions Definitions (1) In this section, and in sections DC 12 to DC 14 ,— employee — (a) means a person that— (i) is employed by a company: (ii) is not a corporation sole, a body corporate, or an unincorporated body: (b) does not include— (i) a director of the company; or (ii) a person who, with any associated person, holds 10% or more of the issued capital of the company (iii) [Repealed] employing company , for an employee, means the company that employs the employee normal retiring age means,— (a) for an employee other than one to whom paragraph (b) applies, no less than 60 years of age: (b) for a female employee who is entitled under a contract of employment entered into before 1 April 1978 with the employing company to retire before 60 years of age, no less than 55 years of age: (c) for any employee, an age that is earlier than the age referred to in paragraph (a) or (b) and that the Commissioner considers reasonable given the nature of the employment or the general terms of employment in the business or occupation of the employee share , for a company whose shares are made available under a share purchase scheme, means a fully paid ordinary share that ranks equally with, and has the same designation as, an existing ordinary voting share in the company trustee means a person or group of persons appointed to administer a share purchase scheme of an employing company, and to hold shares under that scheme on trust for an employee during the period of restriction. Meaning of period of restriction (2) In this section, and in sections DC 13 and DC 14 ,— (a) period of restriction is defined in subsections (3) and (4); and (b) for the purposes of this definition, if an employing company is part of a group of companies, and an employee is transferred to another company in the group, the employee is treated as continuing in their employment. Shorter of 2 periods (3) Period of restriction means the shorter of— (a) a period of 3 years starting on the date the employee buys or subscribes for the shares, or the period of repayment of a loan made to them under the scheme for this purpose, whichever is longer; and (b) a period starting on the date the employee buys or subscribes for the shares and ending on the date the employee ends their employment with the employing company. This subsection is overridden by subsection (4). Different period (4) If the employee buys or subscribes for the shares at market value, and the rules of the scheme provide a period of restriction, that period applies, but it must be no shorter than the period of repayment of a loan made under the scheme for the purpose, and must be no longer than the period described in subsection (3) that would apply in the absence of this subsection. Defined in this Act: associated person , company , director , employee , employing company , group of companies , group of persons , local authority , normal retiring age , pay , period of restriction , public authority , share , share purchase scheme , trustee , year , Compare: 2004 No 35 s DC 14 Section DC 15(1) employee paragraph (a): replaced (with effect on 1 April 2008), on 2 November 2012 (applying for the 2008–09 and later income years), by section 23(1) of the Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 (2012 No 88). Section DC 15(1) employee paragraph (b)(ii): amended (with effect on 1 April 2008), on 2 November 2012 (applying for the 2008–09 and later income years), by section 23(2)(a) of the Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 (2012 No 88). Section DC 15(1) employee paragraph (b)(iii): repealed (with effect on 1 April 2008), on 2 November 2012 (applying for the 2008–09 and later income years), by section 23(2)(b) of the Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 (2012 No 88).