IR6 Question 27 Trustee income and calculation of tax

Calculation of taxable income

Question 27A

If the result is negative the amount will be taken into account in the loss carried forward to the following year.

Calculation of tax and tax on taxable distributions

Question 27B

If the trust has received a taxable distribution and tax has not been paid, calculate tax at 45 cents in the dollar and add it to the total.

Credit for tax paid overseas

Question 27C

The amount of the credit for tax paid overseas on trustee income is limited to the amount of New Zealand tax on that income.

Remember to attach evidence of payment to page 3 of your return.

Dividend imputation credits

Question 27E

If the trustee’s share of the imputation credit exceeds the tax on trustee income at Box 27D, the excess credit can’t be refunded. Write 0.00 in Box 27F. The excess credit is converted to a net loss to carry forward to the following year.

To calculate the net loss to carry forward to 2021, use the worksheet below. Inland Revenue will send you a notice confirming the amount of loss to carry forward.

Worksheet

Trustee’s share of RWT and other credits

Question 27G

The following amounts should be added together and printed in Box 27G:

• the trustee’s allocation of RWT (Boxes 9A and 10A)

• the trustee’s share of Maori authority credits (Box 11A)

• the trustee’s share of partnership, estate or trust tax credits (Box 12A)

• the trustee’s share of LTC tax credits (Box 14A)

• the total from Box 18A.

• the trustee's share of any residential land withholding tax credit (Box 17A).

Don't include any amounts already shown in either Boxes 26L or 26N of the IR6B.