Section RC 26 — Income Tax Act 2007: Registering for GST or cancelling registration

RC 26 Registering for GST or cancelling registration When this section applies (1) This section applies if a person who uses the standard or estimation method to determine the amount of provisional tax payable for a tax year— (a) applies to the Commissioner to become a registered person under section 51 of the Goods and Services Tax Act 1985; or (b) is treated as registered under section 51B of that Act; or (c) asks the Commissioner to cancel their GST registration, or has their GST registration cancelled under section 52 of that Act. Starting or ending GST registration: monthly or 2-monthly basis (2) For a person liable to pay provisional tax who becomes registered for GST paying on a monthly or 2-monthly basis, or who cancels or has their GST registration cancelled having paid on that basis, the instalments of provisional tax payable by them for the tax year are unaffected. Starting GST registration: 6-monthly basis (3) A person liable to pay provisional tax who becomes registered for GST paying on a 6-monthly basis must pay their instalments of provisional tax on whichever dates of instalments C and F for their corresponding income year coincide with the cycle of their taxable periods after they become a registered person. Ending GST registration: 6-monthly basis (4) A person liable to pay provisional tax who pays GST on a 6-monthly basis and cancels their GST registration or has their registration cancelled, must pay their instalments of provisional tax on whichever dates of instalments B, D, and F for their corresponding income year occur after 30 days from the date of cancellation. Date of cancellation (5) For the purposes of subsection (4) and the provisional tax rules, the date of cancellation is the later of the date on which— (a) the cancellation of GST registration is notified: (b) the person's liability under section 52 of the Goods and Services Tax Act 1985 stops. Formula for amount of instalment (6) The amount of each instalment is calculated under section RC 10 . Defined in this Act: amount , Commissioner , corresponding income year , GST , pay , provisional tax , provisional tax rules , registered person , tax year , taxable period , Compare: 2004 No 35 s MB 25 Section RC 26(5): substituted, on 1 April 2008, by section 537 of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).