Section RE 11 — Income Tax Act 2007: Notification by companies

RE 11 Notification by companies When this section applies (1) This section applies when a company that is not a trustee or a Maori authority is entitled to receive a payment of resident passive income other than a replacement payment under a share-lending arrangement. Notification required (2) The company must notify the person making the payment that they are a company. Withholding rate (3) The person making the payment must withhold RWT for the payment at the relevant rate set out in schedule 1, part D, clause 4 (Basic tax rates: income tax, ESCT, RSCT, RWT, and attributed fringe benefits) for a payment made on or after the date of notification. Consequence of failure to notify (4) If the company does not notify the person making the payment, the person must apply the higher withholding rate set out in section RE 19(3) . Defined in this Act: company , Maori authority , notify , pay , replacement payment , resident passive income , RWT , share-lending arrangement , trustee Compare: 2004 No 35 s NF 2B Section RE 11(3): amended (with effect on 1 April 2008), on 6 October 2009, by section 529(1) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34). Section RE 11(3): amended, on 1 April 2008, by section 562 of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).