PIEs for non-resident investors
A portfolio investment entity (PIE) is a type of entity (such as a managed fund) that invests the contributions from investors in different types of investments. PIEs came into existence on 1 October 2007. Eligible entities that elect to become a PIE will generally pay tax on investment income based on the prescribed investor rate (PIR) of their investors, rather than at the entity's tax rate. The PIR for non-residents is 28% (reduced from 30% on 1 October 2010).
How it works