This draft statement updates IS 19/04 Income tax – distributions from foreign trusts. The update was considered appropriate because IS 19/04 frequently refers to IS 18/04 (Taxation of Trusts) which has now been replaced by IS 24/01. 

As there have been no material changes to the Commissioner’s interpretation and given that our 2019 key submission points were considered and adopted in IS 19/04, CA ANZ supports the publication of the refreshed statement. 

In addition, CA ANZ welcomes the clarification that taxable distributions must be calculated in accordance with New Zealand law when the ordering rules apply.