Foreign Superannuation Fund 2

Question 1

For the formula method “__________________” is the total amount of “distributed gain” calculated under this formula for previous foreign superannuation withdrawals received in the assessable period before this particular lump sum.

Vol 26 No 4

Answer 1

Other gains

Question 2

For the formula method “Other gains” is the __________________ “distributed gain” calculated under this formula for previous foreign superannuation withdrawals received in the assessable period before this particular lump sum.

Vol 26 No 4

Answer 2

total amount of

Question 3

For the formula method “Other gains” is the total amount of “________________” calculated under this formula for previous foreign superannuation withdrawals received in the assessable period before this particular lump sum.

Vol 26 No 4

Answer 3

distributed gain

Question 4

For the formula method “Other gains” is the _______________________ calculated under this formula for previous foreign superannuation withdrawals received in the assessable period before this particular lump sum.

Vol 26 No 4

Answer 4

total amount of “distributed gain”

Question 5

For the formula method “Other gains” is the total amount of “distributed gain” ______________________ for previous foreign superannuation withdrawals received in the assessable period before this particular lump sum.

Vol 26 No 4

Answer 5

calculated under this formula

Question 6

For the formula method “Other gains” is the total amount of “distributed gain” calculated under this formula for ____________________________ received in the assessable period before this particular lump sum.

Vol 26 No 4

Answer 6

previous foreign superannuation withdrawals

Question 7

For the formula method “Other gains” is the total amount of “distributed gain” calculated under this formula for previous foreign superannuation withdrawals ____________________before this particular lump sum.

Vol 26 No 4

Answer 7

received in the assessable period

Question 8

For the formula method “Other gains” is the total amount of “distributed gain” calculated under this formula for previous foreign superannuation withdrawals received in the assessable period _________________________.

Vol 26 No 4

Answer 8

before this particular lump sum.

Question 9

For the formula method “Other gains” is the total amount of “distributed gain” calculated under this formula for ____________________________________________ before this particular lump sum.

Vol 26 No 4

Answer 9

previous foreign superannuation withdrawals received in the assessable period

Question 10

For the formula method “Other gains” is the total amount of “distributed gain” calculated under this formula for __________________________________________________________.

Vol 26 No 4

Answer 10

previous foreign superannuation withdrawals received in the assessable period before this particular lump sum.

Question 11

If this is the ____________ for the person in relation to that foreign superannuation interest, then “other gains” is equal to zero. This is because no other lump sums have been received during the person’s assessable period before the time the current lump sum (for which the person is using
the formula method) was distributed.
Vol 26 No 4

Answer 11

first lump sum

Question 12

If this is the first lump sum for the person in relation to that foreign superannuation interest, then “____________” is equal to zero. This is because no other lump sums have been received during the person’s assessable period before the time the current lump sum (for which the person is using the formula method) was distributed.
Vol 26 No 4

Answer 12

other gains

Question 13

If this is the first lump sum for the person in relation to that foreign superannuation interest, then “other gains” is equal to ______. This is because no other lump sums have been received during the person’s assessable period before the time the current lump sum (for which the person is using the formula method) was distributed.
Vol 26 No 4

Answer 13

zero

Question 14

If, for example, a person is calculating the assessable withdrawal amount in relation to a third lump sum that the person has received from their foreign superannuation scheme, the “_____________” term consists of what they previously calculated for “distributed gain” in respect of the
first and second lump sums.

Answer 14

other gains

Question 15

If, for example, a person is calculating the assessable withdrawal amount in relation to a third lump sum that the person has received from their foreign superannuation scheme, the “other gains” term consists of what they previously calculated for “_______________” in respect of the
first and second lump sums.
Vol 26 No 4

Answer 15

distributed gain

Question 16

If, for example, a person is calculating the assessable withdrawal amount in relation to a third lump sum that the person has received from their foreign superannuation scheme, the “other gains” term consists of what they previously calculated for “distributed gain” in respect of the
___________________________.
Vol 26 No 4

Answer 16

first and second lump sums

Question 17

For the formula method, the “______________” term acts as a wash-up calculation to
ensure that a person is not over- or under-taxed in relation to their foreign superannuation interest.

Vol 26 No 4

Answer 17

other gains

Question 18

For the formula method, the “other gains” term acts as a ______________ calculation to
ensure that a person is not over- or under-taxed in relation to their foreign superannuation interest.

Vol 26 No 4

Answer 18

wash-up

Question 19

For the formula method, the “other gains” term acts as a wash-up calculation to
ensure that a person is not ________________ in relation to their foreign superannuation interest.

Vol 26 No 4

Answer 19

over- or under-taxed

Question 20

For the formula method, the “other gains” term acts as a wash-up calculation to
ensure that a person is not over- or under-taxed in relation to their ___________________.

Vol 26 No 4

Answer 20

foreign superannuation interest

Question 21

Sometimes savings in an individual’s retirement scheme
can be used for purposes ____________________. For
example, in the United States, individuals are able to
establish a retirement savings account known as an
Individual Retirement Account (IRA). An IRA is a savings
account set up for the exclusive benefit of the individual or the individual’s beneficiaries. To discourage the use of
IRAs for purposes other than retirement, a 10% penalty
tax is imposed on any withdrawals made from the account
before retirement. Some withdrawals can be made without
penalty – for example, when withdrawals are made to meet
higher education expenses, first home purchases or medical
expenses, no penalty tax is imposed.
Nevertheless, IRAs are established mainly for the purpose
of providing retirement benefits and therefore on the face
of it, such accounts are likely to be “foreign superannuation
schemes” for New Zealand tax purposes.

TIB Vol 20 No 4

Answer 21

unrelated to retirement

Question 22

Sometimes savings in an individual’s retirement scheme
can be used for purposes unrelated to retirement. For
example, in the United States, individuals are able to
establish a retirement savings account known as an
____________________ (IRA). An IRA is a savings
account set up for the exclusive benefit of the individual or the individual’s beneficiaries. To discourage the use of
IRAs for purposes other than retirement, a 10% penalty
tax is imposed on any withdrawals made from the account
before retirement. Some withdrawals can be made without
penalty – for example, when withdrawals are made to meet
higher education expenses, first home purchases or medical
expenses, no penalty tax is imposed.
Nevertheless, IRAs are established mainly for the purpose
of providing retirement benefits and therefore on the face
of it, such accounts are likely to be “foreign superannuation
schemes” for New Zealand tax purposes.

TIB Vol 20 No 4

Answer 22

Individual Retirement Account

Question 23

Sometimes savings in an individual’s retirement scheme
can be used for purposes unrelated to retirement. For
example, in the United States, individuals are able to
establish a retirement savings account known as an
Individual Retirement Account (_______). An _______ is a savings
account set up for the exclusive benefit of the individual or the individual’s beneficiaries. To discourage the use of
________s for purposes other than retirement, a 10% penalty
tax is imposed on any withdrawals made from the account
before retirement. Some withdrawals can be made without
penalty – for example, when withdrawals are made to meet
higher education expenses, first home purchases or medical
expenses, no penalty tax is imposed.
Nevertheless, ________s are established mainly for the purpose
of providing retirement benefits and therefore on the face
of it, such accounts are likely to be “foreign superannuation
schemes” for New Zealand tax purposes.

TIB Vol 20 No 4

Answer 23

IRA

Question 24

Sometimes savings in an individual’s retirement scheme
can be used for purposes unrelated to retirement. For
example, in the United States, individuals are able to
establish a retirement savings account known as an
___________________________. An IRA is a savings
account set up for the exclusive benefit of the individual or the individual’s beneficiaries. To discourage the use of
IRAs for purposes other than retirement, a 10% penalty
tax is imposed on any withdrawals made from the account
before retirement. Some withdrawals can be made without
penalty – for example, when withdrawals are made to meet
higher education expenses, first home purchases or medical
expenses, no penalty tax is imposed.
Nevertheless, IRAs are established mainly for the purpose
of providing retirement benefits and therefore on the face
of it, such accounts are likely to be “foreign superannuation
schemes” for New Zealand tax purposes.

TIB Vol 20 No 4

Answer 24

Individual Retirement Account (IRA)

Question 25

Sometimes savings in an individual’s retirement scheme can be used for purposes unrelated to retirement. For example, in the United States, individuals are able to establish a retirement savings account known as an Individual Retirement Account (IRA). An IRA is a savings account set up for the _____________________________________. To discourage the use of IRAs for purposes other than retirement, a 10% penalty tax is imposed on any withdrawals made from the account before retirement. Some withdrawals can be made without penalty – for example, when withdrawals are made to meet higher education expenses, first home purchases or medical expenses, no penalty tax is imposed. Nevertheless, IRAs are established mainly for the purpose of providing retirement benefits and therefore on the face of it, such accounts are likely to be “foreign superannuation schemes” for New Zealand tax purposes. TIB Vol 20 No 4

Answer 25

exclusive benefit of the individual or the individual’s beneficiaries

Question 26

Sometimes savings in an individual’s retirement scheme can be used for purposes unrelated to retirement. For example, in the United States, individuals are able to establish a retirement savings account known as an Individual Retirement Account (IRA). An IRA is a savings account set up for the exclusive benefit of the individual or the individual’s beneficiaries. To discourage the use of IRAs for purposes other than retirement, a 10% penalty tax is imposed on any withdrawals made from the account before retirement. Some withdrawals can be made ____________ – for example, when withdrawals are made to meet higher education expenses, first home purchases or medical expenses, no penalty tax is imposed. Nevertheless, IRAs are established mainly for the purpose of providing retirement benefits and therefore on the face of it, such accounts are likely to be “foreign superannuation schemes” for New Zealand tax purposes. TIB Vol 20 No 4

Answer 26

Without penalty

Question 27

Sometimes savings in an individual’s retirement scheme can be used for purposes unrelated to retirement. For example, in the United States, individuals are able to establish a retirement savings account known as an Individual Retirement Account (IRA). An IRA is a savings account set up for the exclusive benefit of the individual or the individual’s beneficiaries. To discourage the use of IRAs for purposes other than retirement, a 10% penalty tax is imposed on any withdrawals made from the account before retirement. Some withdrawals can be made without penalty – for example, when withdrawals are made to meet _____________________, first home purchases or medical expenses, no penalty tax is imposed. Nevertheless, IRAs are established mainly for the purpose of providing retirement benefits and therefore on the face of it, such accounts are likely to be “foreign superannuation schemes” for New Zealand tax purposes.

Answer 27

higher education expenses

Question 28

Sometimes savings in an individual’s retirement scheme can be used for purposes unrelated to retirement. For example, in the United States, individuals are able to establish a retirement savings account known as an Individual Retirement Account (IRA). An IRA is a savings account set up for the exclusive benefit of the individual or the individual’s beneficiaries. To discourage the use of IRAs for purposes other than retirement, a 10% penalty tax is imposed on any withdrawals made from the account before retirement. Some withdrawals can be made without penalty – for example, when withdrawals are made to meet higher education expenses, ______________________ or medical expenses, no penalty tax is imposed. Nevertheless, IRAs are established mainly for the purpose of providing retirement benefits and therefore on the face of it, such accounts are likely to be “foreign superannuation schemes” for New Zealand tax purposes.

Answer 28

first home purchases

Question 29

Sometimes savings in an individual’s retirement scheme can be used for purposes unrelated to retirement. For example, in the United States, individuals are able to establish a retirement savings account known as an Individual Retirement Account (IRA). An IRA is a savings account set up for the exclusive benefit of the individual or the individual’s beneficiaries. To discourage the use of IRAs for purposes other than retirement, a 10% penalty tax is imposed on any withdrawals made from the account before retirement. Some withdrawals can be made without penalty – for example, when withdrawals are made to meet higher education expenses, first home purchases or medical expenses, no penalty tax is imposed. Nevertheless, IRAs are established mainly for the purpose of providing retirement benefits and therefore on the face of it, such accounts are likely to be “__________________” for New Zealand tax purposes.

Answer 29

foreign superannuation schemes

Question 30

Sometimes savings in an individual’s retirement scheme can be used for purposes unrelated to retirement. For example, in the United States, individuals are able to establish a retirement savings account known as an Individual Retirement Account (IRA). An IRA is a savings account set up for the exclusive benefit of the individual or the individual’s beneficiaries. To discourage the use of IRAs for purposes other than retirement, a 10% penalty tax is imposed on any withdrawals made from the account before retirement. Some withdrawals can be made without penalty – for example, when withdrawals are made to meet higher education expenses, first home purchases or ______________, no penalty tax is imposed. Nevertheless, IRAs are established mainly for the purpose of providing retirement benefits and therefore on the face of it, such accounts are likely to be “foreign superannuation schemes” for New Zealand tax purposes.

Answer 30

Medical expenses

Question 31

What is an IRA for United States Superannuation Fund purposes?

Answer 31

Individual Retirement Account.

Question 32

How does the United States discourage the use of an IRA for purpose unrelated to retirement?

Answer 32

A 10% penalty tax is imposed on any withdrawals made from the account before retirement.

Question 33

Where a retirement scheme is merely a “_________________” or similar arrangement for an individual, the scheme is unlikely to meet the definition for being a foreign superannuation scheme. If retirement savings are held by a bare trustee, section YB 21 provides that the underlying savings are deemed to be held by the individual personally. In those circumstances, New Zealand would generally tax the individual as if the individual is holding the underlying investments of the “scheme” directly. TIB Vol 20 No 4

Answer 33

bare trustee

Question 34

Where a retirement scheme is merely a “bare trustee” or similar arrangement for an individual, the scheme is unlikely to meet the definition for being a foreign superannuation scheme. If retirement savings are held by a bare trustee, section _________ provides that the underlying savings are deemed to be held by the individual personally. In those circumstances, New Zealand would generally tax the individual as if the individual is holding the underlying investments of the “scheme” directly. TIB Vol 20 No 4

Answer 34

YB 21

Question 35

Where a retirement scheme is merely a “bare trustee” or similar arrangement for an individual, the scheme is unlikely to meet the definition for being a foreign superannuation scheme. If retirement savings are held by a bare trustee, section YB 21 provides that the underlying savings are ________________ by the individual personally. In those circumstances, New Zealand would generally tax the individual as if the individual is holding the underlying investments of the “scheme” directly. TIB Vol 20 No 4

Answer 35

deemed to be held

Question 36

Where a retirement scheme is merely a “bare trustee” or similar arrangement for an individual, the scheme is unlikely to meet the definition for being a foreign superannuation scheme. If retirement savings are held by a bare trustee, section YB 21 provides that the underlying savings are deemed to be held ___________________. In those circumstances, New Zealand would generally tax the individual as if the individual is holding the underlying investments of the “scheme” directly. TIB Vol 20 No 4

Answer 36

by the individual personally

Question 37

Where a retirement scheme is merely a “bare trustee” or similar arrangement for an individual, the scheme is unlikely to meet the definition for being a foreign superannuation scheme. If retirement savings are held by a bare trustee, section YB 21 provides that the underlying savings are deemed to be held by the individual personally. In those circumstances, New Zealand would generally _____________ as if the individual is holding the underlying investments of the “scheme” directly. TIB Vol 20 No 4

Answer 37

tax the individual

Question 38

What is the title of section YB 21?

Answer 38

Transparency of Nominees

Question 39

What is the Angora Cat problem in Patent Law?

Answer 39

Para 438 in the decision of MezhProm Bank v Pugachev refers to a phenomenon in patent law known as the Angora cat problem first identified by Professor Franzosi, an eminent academic expert in the field: “Professor Mario Franzosi likens a patentee to an Angora cat. When validity is challenged, the patentee says his patent is very small: the cat with its fur smoothed down, cuddly and sleepy. But when the patentee goes on the attack, the fur bristles, the cat is twice the size with teeth bared and eyes ablaze.” https://mattersoftrust.co.nz/2017/10/16/the-curious-story-of-the-angora-cat/

Question 40

What is a ____________? A _______________ is a trust where the only duty of the trustee is to act on the directions of the trust’s beneficiaries. It is intended to cover situations where a person has deposited money with an investment custodian, who then deposits that money on behalf of that person. https://treasury.govt.nz/publications/information-release/part-3-questions-and-answers-what-information-do-trusts-and-trustees-need-know-retail-deposit

Answer 40

bare trust

Question 41

A bare trust is a trust where ___________________________ is to act on the directions of the trust’s beneficiaries. It is intended to cover situations where a person has deposited money with an investment custodian, who then deposits that money on behalf of that person. https://treasury.govt.nz/publications/information-release/part-3-questions-and-answers-what-information-do-trusts-and-trustees-need-know-retail-deposit

Answer 41

the only duty of the trustee

Question 42

A bare trust is a trust where the only duty of the trustee is to act on the directions of the trust’s beneficiaries. It is intended to cover situations where _____________________________________________________. https://treasury.govt.nz/publications/information-release/part-3-questions-and-answers-what-information-do-trusts-and-trustees-need-know-retail-deposit

Answer 42

a person has deposited money with an investment custodian, who then deposits that money on behalf of that person

Question 43

A bare trust is a trust where the only duty of the trustee is ______________________________. It is intended to cover situations where a person has deposited money with an investment custodian, who then deposits that money on behalf of that person. https://treasury.govt.nz/publications/information-release/part-3-questions-and-answers-what-information-do-trusts-and-trustees-need-know-retail-deposit

Answer 43

to act on the directions of the trust’s beneficiaries

Question 44

It is intended to cover situations where a person has deposited money with an investment custodian, who then deposits that money on behalf of that person. https://treasury.govt.nz/publications/information-release/part-3-questions-and-answers-what-information-do-trusts-and-trustees-need-know-retail-deposit

Answer 44

to act on the directions of the trust’s beneficiaries

Question 45

It is intended to cover situations where ______________________________________, who then deposits that money on behalf of that person. https://treasury.govt.nz/publications/information-release/part-3-questions-and-answers-what-information-do-trusts-and-trustees-need-know-retail-deposit

Answer 45

a person has deposited money with an investment custodian

Question 46

It is intended to cover situations where a person has deposited money with an investment custodian, ___________________________________. https://treasury.govt.nz/publications/information-release/part-3-questions-and-answers-what-information-do-trusts-and-trustees-need-know-retail-deposit

Answer 46

who then deposits that money on behalf of that person

Question 47

The “calculated gains fraction” is the greater of zero and the result given by the formula in section CF 3(14) as follows: _______________ = predistribution + withdrawals – value – contributions / predistribution

Answer 47

calculated gains fraction

Question 48

The “calculated gains fraction” is the greater of zero and the result given by the formula in section CF 3(14) as follows: calculated gains fraction = _________________ + withdrawals – value – contributions / __________________ Vol26 No 4

Answer 48

predistribution

Question 49

The “calculated gains fraction” is the greater of zero and the result given by the formula in section CF 3(14) as follows: calculated gains fraction = predistribution ___ withdrawals – value – contributions / predistribution Vol26 No 4

Answer 49

+

Question 50

The “calculated gains fraction” is the greater of zero and the result given by the formula in section CF 3(14) as follows: calculated gains fraction ____ predistribution + withdrawals – value – contributions / predistribution Vol26 No 4

Answer 50

=

Question 51

The “calculated gains fraction” is the greater of zero and the result given by the formula in section CF 3(14) as follows: calculated gains fraction = predistribution + ________________ – value – contributions / predistribution Vol26 No 4

Answer 51

Withdrawals

Question 52

The “calculated gains fraction” is the greater of zero and the result given by the formula in section CF 3(14) as follows: calculated gains fraction = predistribution + withdrawals ___ value ___ contributions / predistribution Vol26 No 4

Answer 52

–

Question 53

The “calculated gains fraction” is the greater of zero and the result given by the formula in section CF 3(14) as follows: calculated gains fraction = predistribution + withdrawals – ________ – contributions / predistribution

Answer 53

value

Question 54

The “calculated gains fraction” is the greater of zero and the result given by the formula in section CF 3(14) as follows: calculated gains fraction = predistribution + withdrawals – value – ________________ / predistribution

Answer 54

contributions

Question 55

The “calculated gains fraction” is the greater of zero and the result given by the formula in section CF 3(14) as follows: calculated gains fraction = predistribution + withdrawals – value – contributions ___ predistribution

Answer 55

/

Question 56

Where the formula for the “calculated gains fraction” provides a negative result, the person must enter zero for the “________________” term in the formula for the “distributed gain” in section CF 3(12). The result is that losses cannot be offset against other income in the person’s income tax return. TIB Vol 26 No 4

Answer 56

calculated gains fraction

Question 57

Where the formula for the “calculated gains fraction” provides a ____________, the person must enter zero for the “calculated gains fraction” term in the formula for the “distributed gain” in section CF 3(12). The result is that losses cannot be offset against other income in the person’s income tax return. TIB Vol 26 No 4

Answer 57

negative result

Question 58

Where the formula for the “calculated gains fraction” provides a negative result, the person must enter __________ for the “calculated gains fraction” term in the formula for the “distributed gain” in section CF 3(12). The result is that losses cannot be offset against other income in the person’s income tax return.

Answer 58

zero

Question 59

Where the formula for the “calculated gains fraction” provides a negative result, the person must enter zero for the “calculated gains fraction” term in the formula for the “distributed gain” in section ____________. The result is that losses cannot be offset against other income in the person’s income tax return. TIB Vol 26 No 4

Answer 59

CF 3(12).

Question 60

Where the formula for the “calculated gains fraction” provides a negative result, the person must enter zero for the “calculated gains fraction” term in the formula for the “distributed gain” in section CF 3(12). The result is that _______________ cannot be offset against other income in the person’s income tax return. TIB Vol 26 No 4

Answer 60

Losses

Question 61

Where the formula for the “calculated gains fraction” provides a negative result, the person must enter zero for the “calculated gains fraction” term in the formula for the “distributed gain” in section CF 3(12). The result is that losses cannot be offset against _______________ in the person’s income tax return. TIB Vol 26 No 4

Answer 61

other income

Question 62

Where the formula for the “calculated gains fraction” provides a negative result, the person must enter zero for the “calculated gains fraction” term in the formula for the “_______________” in section CF 3(12). The result is that losses cannot be offset against other income in the person’s income tax return. TIB Vol 26 No 4

Answer 62

distributed gain

Question 63

________________ are made up of many different galaxies. Some hundreds, some thousands, some hundreds of thousands. https://www.ouruniverseforkids.com/super-clusters/

Answer 63

Super clusters

Question 64

From what we can see in the ‘__________________’ we know of around a massive 10 million or so Super Clusters. These are great big clusters of galaxies that are as far as 100 million light – years away. https://www.ouruniverseforkids.com/super-clusters/

Answer 64

Observable Universe

Question 65

From what we can see in the ‘Observable Universe’ we know of around a massive ______________ or so Super Clusters. These are great big clusters of galaxies that are as far as 100 million light – years away. https://www.ouruniverseforkids.com/super-clusters/

Answer 65

10 million

Question 66

Different owners can have __________ main homes Co-owners of property can have different main homes. For example, a person living in one city may have a different main home from their spouse living in another city. The bright-line test will only apply to the extent the property is not the main home of an owner on disposal. Vol 26 No 1

Answer 66

different

Question 67

Different owners can have different main homes Co-owners of property can have different main homes. For example, a person living in one city may have a different main home from their ______________ living in another city. The bright-line test will only apply to the extent the property is not the main home of an owner on disposal. Vol 26 No 1

Answer 67

spouse

Question 68

Different owners can have different main homes Co-owners of property can have different main homes. For example, a person living in one city may have a different main home from their spouse living in another city. The bright-line test will only apply to the extent the property is not the _________________ on disposal. Vol 26 No 1

Answer 68

main home of an owner

Question 69

The terms in the “calculated gains fraction” formula are defined in new section _________. Vol 26 No 4

Answer 69

CF 3(15)

Question 70

The terms in the “____________________” formula are defined in new section CF 3(15). Vol 26 No 4

Answer 70

calculated gains fraction

Question 71

“_______________” is the value of the person’s interest in the scheme immediately before they made their foreign superannuation withdrawal. Vol 26 No 4

Answer 71

Predistribution

Question 72

“__________________” is the total amount of previous foreign superannuation withdrawals the person has received from their foreign superannuation scheme made during their assessable period before the time the current lump sum (for which the person is currently using the formula method to calculate their assessable withdrawal amount) was distributed. This term is zero if the person has received no other lump sums from the foreign superannuation scheme. If, for example, the person is calculating the “calculated gains fraction” in respect of their third lump sum, “withdrawals” would consist of the value of their first and second lump sums. Vol 26 No 4

Answer 72

Withdrawals

Question 73

“Withdrawals” is the total amount of previous foreign superannuation withdrawals the person has received from their foreign superannuation scheme made during their assessable period _____________ the time the current lump sum (for which the person is currently using the formula method to calculate their assessable withdrawal amount) was distributed. This term is zero if the person has received no other lump sums from the foreign superannuation scheme. If, for example, the person is calculating the “calculated gains fraction” in respect of their third lump sum, “withdrawals” would consist of the value of their first and second lump sums. Vol 26 No 4

Answer 73

before

Question 74

“_________” is the opening value of the person’s interest in the scheme at the beginning of their assessable period. If the person has an exemption period, “value” is the value of their foreign superannuation interest at the end of their four-year exemption period, not at the time of migration. This is to ensure that gains made by the scheme during the person’s exemption period and the pre-migration value are not taxed. If a person does not have an exemption period in relation to their foreign superannuation interest, “value” is the value of the person’s scheme at the time they first became a New Zealand tax resident while holding the interest. Vol 26 No 4

Answer 74

Value

Question 75

“Value” is the ____________________________ in the scheme at the beginning of their assessable period. If the person has an exemption period, “value” is the value of their foreign superannuation interest at the end of their four-year exemption period, not at the time of migration. This is to ensure that gains made by the scheme during the person’s exemption period and the pre-migration value are not taxed. If a person does not have an exemption period in relation to their foreign superannuation interest, “value” is the value of the person’s scheme at the time they first became a New Zealand tax resident while holding the interest. Vol 26 No 4

Answer 75

opening value of the person’s interest

Question 76

“Value” is the opening value of the person’s interest in the scheme at the beginning of their assessable period. If the person has an exemption period, “value” is the value of their foreign superannuation interest at the _________________________, not at the time of migration. This is to ensure that gains made by the scheme during the person’s exemption period and the pre-migration value are not taxed. If a person does not have an exemption period in relation to their foreign superannuation interest, “value” is the value of the person’s scheme at the time they first became a New Zealand tax resident while holding the interest.

Answer 76

end of their four-year exemption period

Question 77

“____________________” is the total amount of recognised contributions under section CF 3(19) made to the scheme during the person’s assessable period before the distribution time. This term provides a deduction for contributions made for or on behalf of a person while the person is a New Zealand tax resident, if the contributions satisfy certain conditions. The formula method may otherwise treat some of the New Zealand contributions as gains and would result in over-taxation.

Answer 77

Contributions

Question 78

“Contributions” is the total amount of _________________ under section CF 3(19) made to the scheme during the person’s assessable period before the distribution time. This term provides a deduction for contributions made for or on behalf of a person while the person is a New Zealand tax resident, if the contributions satisfy certain conditions. The formula method may otherwise treat some of the New Zealand contributions as gains and would result in over-taxation.

Answer 78

recognised contributions

Question 79

“Contributions” is the total amount of recognised contributions under section CF 3(19) made to the scheme during the person’s assessable period before the distribution time. This term provides a deduction for contributions made for or on behalf of a person while the person is a New Zealand tax resident, if the contributions satisfy ______________. The formula method may otherwise treat some of the New Zealand contributions as gains and would result in over-taxation.

Answer 79

certain conditions

Question 80

“Contributions” is the total amount of recognised contributions under section CF 3(19) made to the scheme during the person’s assessable period before the distribution time. This term provides a deduction for contributions made for or on behalf of a person while the person is a New Zealand tax resident, if the contributions satisfy certain conditions. The formula method may otherwise treat some of the New Zealand contributions as ________ and would result in over-taxation.

Answer 80

gains