Understand the complex taxation treatment of land sales from subdivisions, focusing on the bright-line test, interest deductibility, and related exemptions.
The taxation treatment of land sales that have resulted from a subdivision is complicated. This has become increasingly so following the bright-line acquisition date and the recent changes around interest deductibility.
The number of lots created, the amount of work done, the cost of the work, the nature of the work, and the intention of the owner on acquisition all impact the taxation treatment of sale, both from an income tax and a GST perspective.
In some cases, there may also be income tax exemptions that can apply. Finally, there is the IRD's view on remainder or residual land that also needs to be taken into account.
The webinar will look at the taxation rules around subdivisions and work through a number of scenarios to provide guidance on how the rules might be applied to various situations. The session will be a mix of technical and practical implications.
Suitable for: Accountants and lawyers with clients that undertake subdivision work on land, regardless of when it was acquired or sold.
TEO Training provides practical learning experiences on primarily tax-related topics for accountants, lawyers and business advisors across New Zealand.
Partner at Findex/Crowe
Daniel is a Partner for Findex in Queenstown. Daniel has been with Findex for 16 years, where he advises on a wide range of tax matters, including property transactions and property ownership structures, international taxation issues, the tax treatment of investments and providing structuring advice to clients, including assistance for family group restructures. Daniel is recognised as a leader in the taxation treatment of short stay accommodation, providing training to other practitioners.
