IR854 Investor certificates
Return detail requirements
The following table sets out the return details requirements for the investor certificates.
It is critical that the investor certificates record the correct portfolio investment entity (PIE) IRD number. Without this the investor certificates cannot be attached to the annual reconciliation. If the PIE's IRD number is omitted or not correct on the investor certificates they will not be attached to the reconciliation and the PIE will be requested to re-submit the certificates.
Return identification and version number
There are additional data fields that are not part of the return but are used to identify the type of message.
-
Return type IR854
For file transfer this is the first field. For B2B this is the root element. - Return version, eg 0001 for pre-1 April 2008 and 0002 for returns after 1 April 2008. This reflects any changes to the format such as the change in the PIR from 33% to 30%. This is the second field for file transfer (CSV). For B2B this will be the first field. Version 003 for income years commencing on or after 1 April 2010 for the PIR changes.
Critical note: make sure that the PIE IRD number and return period are correct
Where there is a change to the PIRs in schedule 6 during the year the terms low, mid and top will cover both the old and new rates. However if a new rate is included or removed, further instructions will be provided.
Example
Low rate will cover details for both 10.5% and 12.5% for the 2011 tax year.
Part A
| Element | Description |
|---|---|
| PIE name | Name of the PIE or PIE investor proxy (PIP). |
| PIE IRD number | IRD number of the PIE or PIP. |
| Period end date | Annual return 31 March CCYY. This is always to the year ended 31 March regardless of balance date or cease date. |
| Investor's name | The full name of the investor. Do not include commas. |
| Investor's IRD number |
IRD number of the Investor. If this number is not provided by the investor, default 00000000. Note: The field requirement is 8 to 9 characters. If the investment is in a partnership name then enter the partnership's IRD number. For joint holders of investments provide the IRD number for the holder with the highest PIR. |
|
Certificate ID (investor certificate ID) |
An ID assigned by the PIE to uniquely identify the certificate. This may be a sequential number or other unique identifier, particularly relevant if more than one certificate is being filed for any single investor. The certificate number will show that it is not a duplicate or amendment. |
| Prescribed investor rate (PIR) as at year-end | The latest prescribed investor rate used in a tax calculation requiring a tax payment/credit for the tax year. |
| PIR changed during the year | Indicates whether the investor's PIR changed during the tax year, where used in a final tax calculation. Note that if the PIE recalculated the tax for the full year with the latest rate then they have not operated two rates for the year. |
Part B
| Element | Description |
|---|---|
|
Taxable income/loss
|
The taxable income or loss for all investors. Includes zero-rated investor. Note: This is after deducting " Investor expenses less credits for fees ". |
| Total tax credits for low, mid and/or top PIR investor |
Total of all various tax credits (FTC, IC, MAC, DWP and RWT) for an investor who had a PIR used in final a tax calculation. Note: Excess FTCs that are lost are excluded, eg taxable result for a natural person investor is a loss, then all FTCs attributed to that investor are lost. As tax credits can be positive or negative may also be a positive or negative result. Default is positive. |
| PIE tax paid/credited on investor's income for low, mid and/or top PIR | Total of net tax position for the investor with PIR of low, mid and or top PIR. |
Part C
| Element | Description |
|---|---|
|
Taxable income/loss taxed at low and/or mid rate(s)
|
Taxable income or loss for an investor who had tax calculated during the year at two or three of the low, mid and top PIRs
Note: This is after deducting "Investor expenses less credits for fees" at lower rate or rates |
| PIE tax paid/credited on investor's income at low and/or mid rate(s) |
PIE tax paid/credited for the investor who had tax calculated during the year at two or three of the low, mid and top PIRs. That is after deducting tax credits.
|
| Total tax credits for low and/or mid rate(s) investor |
Total tax credits for the investor who had tax calculated during the year at two or three of the low, mid and top PIRs Total of the various tax credits (FTC, IC, MAC, DWP and RWT) attributed to the attribution period in which the lower rate or rates were used. Note: If an investor is required to file a return because their PIR is higher than that given to a PIE and thus, the investor attributed income is not excluded income, the investor may be entitled to some further FTCs, which were not available to offset the tax payable at the PIE level. As tax credits can be positive or negative may also be a positive or negative result. Default is positive. |
Part D
| Element | Description |
|---|---|
|
Taxable income/loss for investors that used zero and another PIR
|
Taxable income/loss for investors that had the zero rate and any other rate used in a final tax calculation for the year. You do not need to include the details for companies except for trustees. Usually applies to quarterly filers that zero-rate exiting investors to identify the zero-rated component. Note: This is after deducting "Investor expenses less credits for fees". |
| Total zero-rated attributed foreign tax credits |
Total FTCs attributed to the investor who had the 0% rate applied. Includes investors in PIEs that file quarterly with income/loss that is zero-rated for an exit period. As tax credits can be positive or negative may also be a positive or negative result. Default is positive. |
| Total zero-rated attributed DWP/MA tax credits |
Total of all foreign dividend withholding payment tax credits and Maori authority credits attributed to the investor who had the 0% rate applied. Includes investors in PIEs that file quarterly with income/loss that is zero-rated for an exit period. As tax credits can be positive or negative may also be a positive or negative result. Default is positive. |
| Total zero-rated attributed IC tax credits |
Total of all imputation credits attached to NZ dividends attributed to the investor who had the 0% rate applied. Includes investors in PIEs that file quarterly with income/loss that is zero-rated for an exit period. As tax credits can be positive or negative may also be a positive or negative result. Default is positive. |
| Total zero-rated attributed RWT credits |
Total of all RWT credits attributed to the investor who had the 0% rate applied. Includes investors in PIEs that file quarterly with income/loss that is zero-rated for an exit period. As tax credits can be positive or negative may also be a positive or negative result. Default is positive. |
| Zero-rated exited investor's tax payment for exit period | If an exited investor, in a quarterly return filing PIE, has any units/interest left at end of the exit period, the PIE will pay the value of the units/interest as tax. The investor is then allowed a credit in their income tax return for the payment made by the PIE. |
Date published: 29 Sep 2010
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