Understanding your tax certificate
If you’re a member of the BNZ KiwiSaver Scheme, you’ll receive a tax certificate each year that outlines the amount of tax that has been paid on your share of the BNZ KiwiSaver Scheme’s taxable income.
If you’re no longer a member of the BNZ KiwiSaver Scheme, your tax certificate covers the period during the year that you were a member.
How your tax has been calculated and paid
Income from your BNZ KiwiSaver Scheme is taxable. The amount of tax you pay on this income is calculated using your prescribed investor rate (PIR).
Three different PIRs are available to you:
See Working out your prescribed investor rate (PIR) to check you’re on the right PIR.
How your tax has been paid or claimed
If you had tax payable shown on your tax certificates, units would have been sold from your investment to pay the tax.
If a refund was due, we requested this from Inland Revenue, and the refund was used to purchase new units for you. These transactions are shown on your tax certificate.
Understanding your tax certificate
Here’s an example tax certificate. It highlights key information on your tax certificate and explains how tax was calculated.
1. Member information
Your name, account number, and IRD number. Make sure you have this information available if you ever need to contact us.
Your prescribed investor rate (PIR) also appears here. This is the tax rate we held for you at the end of the tax year (31 March) and it is used to calculate the amount of tax you pay on your investment earnings. To check you’re on the right PIR, see Working out your prescribed investor rate (PIR).
If any of this information is incorrect, please get in touch with us.
2. Your tax summary
How we calculated your net tax payable/refundable.
Although your net tax payable relates to the year ending 31 March, this amount was collected or credited in the April following the tax year-end.
3. Explanation of key terms
Explanation of the key terms used in your tax certificate.
4. Your transactions
The transactions that took place in the April following the tax year-end, including the number and value of units sold or bought to settle your net tax or refund for the tax year.
5. Summary of the tax paid or refunded
If we were notified of a change to your PIR during the year by you or Inland Revenue, this table will show a breakdown of the tax we’ve paid or refunded against each rate.
What do I need to do next?
The PIR we had recorded for you at the end of the tax year (31 March), is shown in the member information box on the top-right corner of your tax certificate. If the PIR we held for you during the year was correct, you don’t need to take any action. We have paid or claimed your tax on your behalf.
What if my PIR was incorrect?
If the PIR we held for you was incorrect for the period 1 April to 31 March, you may need to complete a tax return. If you’re not sure, you should speak to your accountant, a tax adviser, or Inland Revenue.
- If the PIR we held for you was higher and tax was deducted at a higher rate, any excess tax you paid will be applied by Inland Revenue to reduce any other income tax liability you may have for the tax year, and any remaining amount will be refunded to you.
- If the PIR we held for you was lower than your correct PIR, you will be required to pay any tax shortfall as part of the income tax year-end process.
See the Inland Revenue website for more information.
How to tell us if your PIR has changed
If your PIR has changed, you’ll need to let us know. See Notifying us of your current prescribed investor rate (PIR) for information on how you can do this.
If you need tax advice you should speak to a tax adviser, who’ll be able to give you guidance in relation to your own specific circumstances.