Property tax exemptions and non-notifiable reasons

Not all dealings require property tax information - find out if your dealing does.

Exemptions

You do not need to complete a Land Transfer Tax Statement if:

  • the transfer relates to Māori Land as defined by Te Ture Whenua Māori Act 1993; or
  • if the transfer is a transfer of property by the Crown under a Treaty Settlement Act that expressly authorises the Crown to transfer the fee simple and to sign a transfer instrument.

Non-notifiable reasons

You may not need to provide your tax details if one of the following “non-notifiable” reasons applies (but you will still need to provide a tax statement):

  • the land being transferred qualifies as your “main home” (see the additional Notes for the main home non-notifiable reason below).
  • you are disposing of the land as part of a mortgagee sale, rating sale under the Local Government (Rating) Act 2002, a court ordered sale or statute ordered sale.
  • you are acting as a transferor or transferee on behalf of a public authority as defined in the Land Transfer (Land Information and Offshore Persons Information) Exemption Regulations 2015 (eg. Her Majesty the Queen)
  • you are acting as a transferor or transferee on behalf of a local authority as defined in the Income Tax Act 2007
  • you are acting as executor or administrator for a deceased person’s estate and the transferee is beneficially entitled to receive the property under the will or the rules governing intestacy.

You may not claim a non-notifiable reason if the transferor or transferee is an offshore person (see section 156A(2)(b)(iv) of the Land Transfer Act 1952..

If applicable, enter the most appropriate code.

Notes for the main home non-notifiable reason

A main home means for a person, the 1 dwelling:

  • that is mainly used as a residence by you and your family (if applicable) (a home); and
  • with which the person has the greatest connection, if they have more than 1 home.

Greatest connection includes where their immediate family live, whether the person’s personal property is in the dwelling, the time the person occupies the dwelling, where their social ties are strongest and whether the person has employment, business interests and economic ties to the area where the dwelling is located.

As a seller (transferor) you can’t claim the “Main home” non-notifiable reason if:

  • you are not a natural person (e.g. a trust or a company)
  • you are an offshore person
  • you have relied on this exemption at least 2 times within the 2 years immediately preceding the date of the transfer
  • a trust owns the home and you are acting as a trustee
  • the land has not been used predominately, for most of the time you owned the land, for a dwelling that was your main home.

As a buyer (transferee) you can’t claim the “Main home” exemption if:

  • you are not a natural person (e.g. a trust or a company)
  • you are an offshore person
  • a trust will own the home and you are acting as a trustee
  • the land is not intended to be used predominantly for a dwelling that will be your main home.

An Offshore person (as defined in section 3(1) of the Tax Administration Act 1994) means:

  • for an individual, 
    • a New Zealand citizen who is outside New Zealand and has not been in New Zealand within the last 3 years;
    • a person who holds a resident residence class visa granted under the Immigration Act 2009, and who is outside New Zealand and has not been in New Zealand within the last 12 months;
    • a person who is not a New Zealand citizen and who does not hold a resident residence class visa granted under the Immigration Act 2009:
  • for a body corporate or an unincorporated body of persons, including a trust or a unit trust, a person who would be an overseas person under section 7(2)(b) to (e) (f) of the Overseas Investment Act 2005, treating references to an overseas person or persons in that section as including a person or persons described in paragraph (a) of this definition.

What tax information you need to provide

Here is what you need to know about tax information to provide if your dealing qualifies for an exemption or non-notifiable reason.

Category of exemptionReasonDetails to be completed in Landonline for a Tax Statement in 2015 formatDetails to be completed in Landonline for a Tax Statement in 2017 formatTax statement created?
Nonen/a
  • Form version
  • Statement date
  • Q1.1, Q2.1, Q2.2 (Q2.2 only applies to transferees)
  • NZ IRD number
  • Tax Residency
  • Tax info number (if not NZ tax resident)
  • Form version
  • Statement date
  • Questions 3, 6-13 as applicable
  • NZ IRD No.
  • Tax Residency
  • Tax information no. (if not NZ tax resident)
Yes
Non-notifiable

For example: Main home

Refer to the Land Transfer Regulations for full information on non-notifiable reasons

  • Form version
  • Statement date
  • Q1.1, Q2.1, Q2.2 (Q2.2 only applies to transferees)
  • Non-notifiable reason
  • Form version
  • Statement date
  • Questions3,  6-13 as applicable
  • Non-notifiable reason
Yes
Exempt
  • Maori Land – Reg 4(1)(a) 
  • Treaty Settlement – Reg 4(1)(b)

Refer to the Land Transfer Regulations for full information on exemptions

  • Exempt reason
  • Exempt reason
No
Last Updated: 9 December 2016