Section FE 35 — Income Tax Act 2007: Persons who may be excluded from banking groups

FE 35 Persons who may be excluded from banking groups Reporting bank’s exclusions (1) A reporting bank may determine the members of its New Zealand banking group by excluding from the group a person or fixed establishment described in subsections (2) to (5). Life insurance providers (2) A reporting bank may choose to exclude from its New Zealand banking group a person or a fixed establishment whose main activity is providing life insurance. Entity owning life insurer or banker (3) A reporting bank may choose to exclude from its New Zealand banking group a person resident in New Zealand— (a) who has a voting interest of 100% in a person excluded under subsection (2); and (b) whose main activity is not banking, financing, or leasing, or the ownership or control of an entity whose main activity is banking, financing, or leasing. Resident group company with other activities (4) A reporting bank may choose to exclude from its New Zealand banking group a person resident in New Zealand— (a) who is required under generally accepted accounting practice to be included in consolidated group accounts with a person or fixed establishment excluded under subsection (2) or (3); and (b) whose main activity is not banking, financing, or leasing, or the ownership or control of an entity whose main activity is banking, financing, or leasing. Fixed establishment with other activities (5) A reporting bank may choose to exclude from its New Zealand banking group a fixed establishment of a non-resident if— (a) the non-resident has a voting interest of 100% in a person excluded under subsection (2); and (b) the fixed establishment has a main activity of financing the person excluded under subsection (2); and (c) the main activity of the fixed establishment is not banking, financing, or leasing, or the ownership or control of an entity whose main activity is banking, financing, or leasing. Defined in this Act: company , fixed establishment , generally accepted accounting practice , life insurance , New Zealand banking group , non-resident , reporting bank , resident in New Zealand , voting interest , Compare: 2004 No 35 s FG 8C(8) Section FE 35 list of defined terms control : repealed, on 1 April 2010, by section 594 of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).