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Sally Lindsay
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Reminder to check property tax status

Thursday 18th of May 2023

Customer segment leader Bernadette Newman says there may income tax to pay on the profit because of property rules that may apply, such as the bright-line test.

The bright-line property rule looks at whether the property was acquired on or after 27 March 2021 and sold within 10 years or five years for new builds, or bought between 29 March 2018 and 26 March 2021 and sold within five years.

“Generally, a property will not be taxable under the bright-line property rule if the property is the main home, is an inherited property or part of a relationship settlement,” says Newman.

There are different criteria that apply to the main home exclusion depending on when the property was acquired. To find out more, go to: ird.govt.nz/brightline-mainhome-exclusion

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Latest Comments
FMA outlines its latest expectations for advisers
Paul Flood: The danger is that the 'goalposts' (regarding what is acceptable or unacceptable adviser conduct) may be susceptible to change. Our 'Principles based' legal/regulatory environment lends itself to “prevalence-induced concept change” over time, perhaps not so much in the written laws and Code, as in the interpretation of the prescribed principles.
1 day ago Steve Wright
FMA outlines its latest expectations for advisers
Just a tip, if you use more than six, six letter words in a sentence you lose most Kiwi's. So avoid client/adviser confusion when writing your post or article if you would like it read and understood. Ironically, my last sentence was not likely read.
1 day ago Backstage
FMA outlines its latest expectations for advisers
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3 days ago Jon-Paul Hale
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To correct errors in my previous post: "policies, templates, and controls" should read "policies, processes, systems and controls", and "is more conductive" should read "is more conducive".
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