Section IA 10 — Income Tax Act 2007: Amended assessments

IA 10 Amended assessments When this section applies (1) This section applies if, in a tax year, the Commissioner amends under section 113 of the Tax Administration Act 1994 a person’s assessment for an earlier tax year, and the amendment adjusts the amount of a tax loss component or a ring-fenced tax loss for the earlier tax year. Reduced losses (2) If the amount is reduced in the adjustment, the person must reduce their loss balance or ring-fenced tax loss for the earlier tax year by the amount of the adjustment. If the loss balance or ring-fenced tax loss has been used in earlier tax years, they must similarly apply the reduction to the use of the loss balance or ring-fenced tax loss. Increased losses (3) If the amount is increased in the adjustment, the person must add an amount to their loss balance or ring-fenced tax loss for the earlier tax year. Defined in this Act: amount , assessment , Commissioner , loss balance , ring-fenced tax loss , tax loss component , tax year ,