Section LD 6 — Income Tax Act 2007: When donation is paid to ineligible recipient

LD 6 When donation is paid to ineligible recipient When this section applies (1) This section applies for the purposes of section LD 4 when the employer or PAYE intermediary transfers the person's payroll donation to an entity that is not a donee organisation. Credit extinguished (2) The tax credit is extinguished. Consequences when credit extinguished (3) The consequences that arise when a tax credit is extinguished under subsection (2) are— (a) the amount of the credit is removed from the person's tax credits for PAYE income payments under section LB 1 (Tax credits for PAYE income payments) for the tax year in which the pay period falls: (b) when the extinguishing of the credit results in a shortfall in an amount of tax for a PAYE income payment, section RD 4 (Payment of amounts of tax to Commissioner) applies to the shortfall. Defined in this Act: amount , amount of tax , donee organisation , employer , pay period , PAYE income payment , payroll donation , tax credit , tax year Section LD 6: added, on 6 January 2010, by section 323 of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34). Section LD 6(3)(a): amended, on 7 January 2010, by section 75 of the Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009 (2009 No 63).