How is tax applied to my investments?
All income in New Zealand is subject to tax, with the rate determined by your specific circumstances. We act on your instructions (with respect to your tax rate).
We will deduct withholding tax from your interest payments and pay this tax to Inland Revenue each month. PIR tax rates are unable to be applied to interest earned with SCP. You will be provided a Tax Certificate each year (as of 31 March) which summarises the total interest paid, and tax deducted. In some circumstances, you can obtain an exemption certificate from Inland Revenue in which case, if you provide us a copy, we will not deduct tax.
The tax entity that manages all interest payments and principle funds is our trust company; Loan Investment Trustees Limited and this is the name that will appear on your tax statement and My IR portal