Section Sch1-4-dup2 — Income Tax Act 2007: Interest: most companies

4 Interest: most companies The payment rate for a payment of resident passive income that consists of interest is set out in table 3 if the recipient of the payment is a company that is not a trustee or a Maori authority. However, this restriction does not apply if the trustee is a portfolio investment entity. Table 3 Row Conditions Payment rate 1 The payer of the interest— (a) has been supplied with the tax file number of a person who is paid interest; and (b) has not received a payment rate election from the recipient of the interest, ignoring the receipt of an election for the 0.33 payment rate before 1 October 2010 (if any). 0.28 2 The payer of the interest— (a) has been supplied with the tax file number of a person who is paid interest; and (b) has received a payment rate election from the recipient of the interest, choosing the 0.28 payment rate. 0.28 3 The payer of the interest— (a) has been supplied with the tax file number of a person who is paid interest; and (b) has received a payment rate election from the recipient of the interest,— (i) on or after 1 October 2010, choosing the 0.33 payment rate; or (ii) before 1 October 2010, choosing the 0.39 or 0.38 payment rate. 0.33 4 The payer of the interest has not been supplied with the tax file number of a person who is paid the interest. 0.33 How to use this table: Find the applicable condition, in the second column, in order to find the relevant rate to apply, in the third column. Schedule 1 part D clause 4: substituted (with effect on 1 April 2010), on 7 September 2010, by section 120(2) of the Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 (2010 No 109). Schedule 1 part D table 3: substituted (with effect on 1 April 2010), on 7 September 2010, by section 120(3) of the Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Act 2010 (2010 No 109).