Company Definition

Company is defined as any body corporate or other entity that has a legal personality or existence distinct from those of its members, whether incorporated or created in New Zealand, or elsewhere. It includes a unit trust, public or local authority, or Maori Authority (YA1).

Company are further categorised for tax purpose as follows:

·         Widely-held company: a company has 25 shareholders (associated shareholders counted as one) or more; and it is not a close-held company.

·         Close company: a company that has five or fewer natural persons (associated persons counted as one) who either hold voting interests, or hold market value interests in the company of more than 50%.

·         Closely-held company: a company that has  five or fewer persons (associated persons counted as one) who hold direct voting interests, or hold direct market value interests in the company is more than 50%.

·         Limited Attribution Company: any building society, co-operative company, listed company, widely-held company, or limited attribution foreign company.

·         Limited attribution foreign company: a non-resident company or a company resident in New Zealand that, under a DTA, is treated as non-resident company and is not a closely-held company.

·         Special corporate entity: any public or local authority, any state-owned enterprise, any statutory producer board, any statutory body established by Act of Parliament that dose issue shares, any life insurance fund, any group investment fund, any Crown research institute, or any Crown health enterprise.

·         Qualifying and loss attributing qualifying company: see below

·         Look through company: see below