Section MB 13 — Income Tax Act 2007: Family scheme income from other payments

MB 13 Family scheme income from other payments (1) The family scheme income of a person for an income year includes the value of payments— (a) paid or provided to the person from any source; and (b) used by the person to— (i) replace lost or diminished income of the person or the person's family: (ii) meet usual living expenses of the person or the person's family; and (c) not excluded from family scheme income under subsection (2). Payments and benefits excluded from family scheme income (2) A payment to a person is not included under subsection (1) in the family scheme income of the person if it is— (a) a loan under ordinary commercial terms and conditions: (b) from an amount that is— (i) proceeds of the disposal of property; and (ii) not assessable income of the person disposing of the property: (c) a payment on behalf of the person by a local authority or public authority: (d) a forgiveness of debt by a public authority: (e) a charitable distribution from a charitable entity registered under the Charities Act 2005 : (f) an educational scholarship: (g) a student loan under the Student Loan Scheme Act 2011 : (h) a grant for the payment of expenses relating to medical treatment or a funeral: (i) a payment under an insurance contract, other than a payment for a loss of income: (j) compensation for a loss other than a loss of income: (k) lump sum compensation under the Accident Compensation Act 2001 : (kb) a payment of a foster care allowance under section 363 of the Children, Young Persons, and Their Families Act 1989: (l) a monetary benefit under the Social Security Act 1964 that is exempt income: (m) a pension or allowance under the War Pensions Act 1954 that is exempt income: (n) a payment that is exempt income under section CW 33(1)(c), (e), or (f) (Allowances and benefits): (o) an amount that is declared not to be income for the purposes of the Social Security Act 1964 by a regulation under section 132 of that Act: (p) included in the family scheme income of the person under another section: (q) expressly excluded from the family scheme income of the person under another section: (r) a payment— (i) to relieve the adverse effects of an event declared to be an emergency event by the Commissioner in a determination under section 91AAS of the Tax Administration Act 1994; and (ii) in the period set by the Commissioner in the determination as relating to the event. Exception for total value of payments less than threshold (3) If, in the absence of this subsection, the total value of payments that would be included under subsection (1) in the family scheme income for the year of the person and the person's spouse, civil union partner, or de facto partner is less than or equal to $5,000, then the payments paid or provided to the person are not included in the person's family scheme income for the income year. Defined in this Act: assessable income , dispose , exempt income , family scheme income , income , income year , insurance contract , land , loan , local authority , pay , public authority Section MB 13: added, on 1 April 2011, by section 112 of the Taxation (GST and Remedial Matters) Act 2010 (2010 No 130). Section MB 13(2)(g): amended, on 1 April 2012, by section 223 of the Student Loan Scheme Act 2011 (2011 No 62). Section MB 13(2)(kb): inserted (with effect on 1 April 2011), on 2 November 2012, by section 123 of the Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 (2012 No 88). Section MB 13(2)(q): amended (with effect on 1 April 2011), on 24 May 2011, by section 7 of the Taxation (Canterbury Earthquake Measures) Act 2011 (2011 No 24). Section MB 13(2)(r): added (with effect on 1 April 2011), on 24 May 2011, by section 7 of the Taxation (Canterbury Earthquake Measures) Act 2011 (2011 No 24).