Skip to main content

New Zealand: Exposure draft on portfolio investment entity income from land development

Public submissions on the draft decision close on April 15, 2026.

Share
April 9, 2026

Inland Revenue on March 5, 2026, released a draft decision on whether income from land development activities qualifies as eligible income of a portfolio investment entity (PIE).

The draft concludes that income from developing land and disposing of subdivided land or buildings would generally fall within permitted PIE income under sections HM 11 and HM 12 of the Income Tax Act 2007.

The clarification is significant as PIE income is subject to a maximum tax rate of 28%, compared with the 39% top personal income tax rate.

Public submissions on the draft decision close on April 15, 2026.


For more information, contact a KPMG tax professional in New Zealand:

Rachel Piper | rkpiper@kpmg.co.nz

Sladja Lines | sladjalines@kpmg.co.nz

Thank you!

Thank you for contacting KPMG. We will respond to you as soon as possible.

Contact KPMG

Use this form to submit general inquiries to KPMG. We will respond to you as soon as possible.
All fields with an asterisk (*) are required.

Job seekers

Visit our careers section or search our jobs database.

Submit RFP

Use the RFP submission form to detail the services KPMG can help assist you with.

Office locations

International hotline

You can confidentially report concerns to the KPMG International hotline

Press contacts

Do you need to speak with our Press Office? Here's how to get in touch.

Headline