Section HC 6 — Income Tax Act 2007: Beneficiary income

HC 6 Beneficiary income Meaning (1) An amount of income derived in an income year by a trustee of a trust is beneficiary income to the extent to which— (a) it vests absolutely in interest in a beneficiary of the trust in the income year; or (b) it is paid to a beneficiary of the trust in the income year or by the date after the end of the income year referred to in subsection (1B). Date by which income must be allocated (1B) The date referred to in subsection (1)(b) is the later of the following: (a) a date that falls within 6 months of the end of the income year; or (b) the earlier of— (i) the date on which the trustee files the return of income for the income year; or (ii) the date by which the trustee must file a return for the income year under section 37 of the Tax Administration Act 1994. Exclusions (2) Beneficiary income does not include— (a) an amount of income derived by a trustee of a trust in an income year in which the trust is a superannuation fund; or (b) an amount of income derived by a trustee that is income to which sections CC 3(2) (Financial arrangements) and EW 50 (Income when debt forgiven to trustee) apply. Deriving beneficiary income in same year (3) When an amount derived by a trustee in an income year is also beneficiary income, the beneficiary is treated as having derived the income in the same tax year as that corresponding to the trustee's income year. Deriving beneficiary income in same year as trustee [Repealed] (4) [Repealed] Defined in this Act: amount , beneficiary income , income , income year , pay , return of income , superannuation fund , tax year , trustee Compare: 2004 No 35 ss OB 1 “ beneficiary income ” , OF 2(3) Section HC 6(1)(b): substituted (with effect on 1 April 2009), on 7 December 2009, by section 43(1) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63). Section HC 6(1B) heading: inserted (with effect on 1 April 2009), on 7 December 2009, by section 43(2) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63). Section HC 6(1B): inserted (with effect on 1 April 2009), on 7 December 2009, by section 43(2) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63). Section HC 6(3) heading: substituted (with effect on 1 April 2009), on 7 December 2009, by section 43(3) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63). Section HC 6(3): substituted (with effect on 1 April 2009), on 7 December 2009, by section 43(3) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63). Section HC 6(4) heading: repealed (with effect on 1 April 2009), on 7 December 2009, by section 43(3) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63). Section HC 6(4): repealed (with effect on 1 April 2009), on 7 December 2009, by section 43(3) of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63). Section HC 6 list of defined terms non-standard income year : repealed (with effect on 1 April 2009), on 7 December 2009, by section 126 of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63). Section HC 6 list of defined terms return of income : inserted (with effect on 1 April 2009), on 7 December 2009, by section 126 of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).