Understanding your tax certificate
If you’re a member of the BNZ KiwiSaver Scheme, or if you were a member at any point during the financial year (1 April to 31 March), you’ll receive a tax certificate. It outlines the amount of tax that was paid or refunded on your investment income for the financial year.
If you exited the BNZ KiwiSaver Scheme before the end of the financial year (31 March), your tax certificate will only cover the period during the year that you were a member.
How your tax has been calculated and paid
Income from your BNZ KiwiSaver Scheme investment is broken down into taxable and non-taxable income. This is determined by your fund choice, and the tax rules that apply to each asset class your funds are invested in. Tax is only paid on taxable income. The amount of tax you pay on this income is calculated using your prescribed investor rate (PIR).
Three different PIRs are available to you:
How your tax has been paid or claimed
If you have tax payable shown on your tax certificate, units have been sold from your investment to pay the tax. If you have tax refunded shown on your tax certificate, 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 of the tax certificate. It highlights key information 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 PIR we hold on record for you at the end of the financial year (31 March). It is used to calculate the amount of tax you pay on your investment income at the end of the financial year. Work out your prescribed investor rate (PIR).
If any of this information is incorrect, please get in touch with us.
2. Your tax summary
How much tax is payable or refundable on your investment for the financial year (1 April to 31 March), and how this was calculated.
3. Explanation of key terms
Explanation of the key terms used in your tax certificate.
What do I need to do next?
The PIR we had recorded for you at the end of the financial 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.
Visit 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. Learn more about notifying us of your current prescribed investor rate (PIR).
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.