Section OB 32 — Income Tax Act 2007: ICA refund of income tax

OB 32 ICA refund of income tax Debit (1) An ICA company has an imputation debit for the amount of a refund of income tax paid to the company. Subsection (2) overrides this subsection. No debit (2) A debit under subsection (1) does not include— (a) a refund of income tax paid for a period when the company was not an ICA company; or (ab) a refund of income tax paid by a life insurer to satisfy its schedular income tax liability for schedular policyholder base income; or (b) a refund of income tax paid before a debit arises under section OB 41 , but only to the extent to which the amount of the refund is less than or equal to the amount of the debit; or (c) a refund under subpart LP (Tax credits for supplementary dividends) because the supplementary dividend generating the refund was paid before a debit arises under section OB 41 , but only to the extent to which the amount of the refund is less than the amount of the debit. Table references (3) The table references are as follows: (a) the imputation debit in subsection (1) is referred to in table O2: imputation debits, row 4 (refund of income tax): (b) the imputation debit in subsection (2)(b) is referred to in table O2: imputation debits, row 14 (debit for loss of shareholder continuity): (c) the imputation debit in subsection (2)(c) is referred to in table O2: imputation debits, row 14 (debit for loss of shareholder continuity). Part-year ICA company (4) The amount of the debit that arises if the company is an ICA company for only part of a tax year is an amount calculated using the formula— ICA days × refund. 365 Definition of items in formula (5) In the formula,— (a) ICA days is the number of days in which the company is an ICA company: (b) refund is the amount of the refund. Debit date (6) The debit date is the day the refund is made. Relationship with section OB 37 (7) This section does not apply to an amount that gives rise to a debit under section OB 37 . Defined in this Act: amount , company , ICA company , imputation debit , income tax , life insurer , pay , schedular income tax liability , schedular policyholder base income , shareholder , supplementary dividend , tax year , Compare: 2004 No 35 s ME 5(1)(e), (2)(e) Section OB 32(2)(ab): inserted, on 1 July 2010, by section 388(1) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34). Section OB 32(2)(b): amended (with effect on 1 April 2008), on 7 September 2010 (applying for the 2008–09 and later income years), by section 97(1) of the Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 (2010 No 109). Section OB 32(7) heading: added (with effect on 1 April 2008), on 6 October 2009, by section 388(2) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34). Section OB 32(7): added (with effect on 1 April 2008), on 6 October 2009, by section 388(2) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34). Section OB 32 list of defined terms life insurer : inserted, on 1 July 2010, by section 388(3) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34). Section OB 32 list of defined terms schedular income tax liability : inserted, on 1 July 2010, by section 388(3) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34). Section OB 32 list of defined terms schedular policyholder base income : inserted, on 1 July 2010, by section 388(3) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).