Restructuring groups is a common practice as businesses evolve over time. The restructure may inadvertently result in the application of the dividend stripping rules. The impact of these rules can result in taxpayers being double taxed on the same income.

These rules can apply beyond large groups restructuring and in recent years the IRD has been active in pursuing taxpayers where they insert a holding company, restructuring ownership or paying out large dividends from privately held companies.

Consequently, it is critical to consider potential implications of these rules prior to the sale/transfer of shares, whether to an associated person or a third party.

Upon satisfactory completion of this activity, you will be able to:

• Understand the dividend stripping rules
• Know what to look for to identify risks of dividend stripping
• Understand what the IRD are focusing on in this area

Suited to:

Accountants, lawyers and business advisors at the manager/senior level.

PRESENTER

Jarod Chisholm, Managing Partner (NZ) Tax Advisory, Findex/Crowe

Jarod is the New Zealand Managing Partner of Tax Advisory for Findex/Crowe based in Dunedin and has been a regular presenter for TEO, presenting on a wide range of topics in all areas of tax. Jarod’s background includes working in “Big 4” firms in Australia and New Zealand in the tax domain, and working for large corporates as a management accountant.
Jarod is recognised as an industry leader in the area of foreign investment and regularly assists other accountants/advisors with their clients. He provides commercial, practical advice in all areas of tax.