New law changes – affective 1st October 2015
To those of you who own or are looking at purchasing or selling rental properties, holiday homes or residential properties in a trust, you will be required to
provide an IRD numbers at the time of property transfer; provide your Tax Identification Number from your homes jurisdiction if you have tax residence in another country; if you are an offshore person, you will need to provide evidence of a New Zealand bank account in order to obtain an IRD number.
All Trusts will need their own IRD numbers as well. A Trust will not be able to use the personal IRD numbers of individual trustees. There are many thousands of Trusts that will not currently have an IRD number.
IRD has advised that their processing time for IRD number applications is currently 8-10 working days. Please note this does not include postage times (and an application cannot be submitted electronically). All buyers and sellers will need to sign a Tax Statement for every transaction.
There is no exemption for this part of the proposal and the Tax Statement will need to obtain various information.
Trustees of family trusts need to be aware of these changes, as without the necessary tax information you may not be able to complete a property transaction!(Information from Rainey & Collins lawyers)
And a quick personal note from Lynne:
As we are quickly coming to the end of the year everything is getting busy. The printers are working overtime to produce our annual calendar, houses are coming on the market and selling with record number of viewers, offers and great outcomes for very happy vendors. The days are speeding by as Christmas and Summer quickly approach. Here is wishing you a safe lead up to Christmas, enjoy your time with family and friends. Lynne