Tax relief for quake-affected to be extended

Todd McClay. Photo / APN

The Government will roll over tax relief measures to support business and residents after the Christchurch earthquakes.

The Government introduced temporary measures after the February 2011 quake to provide taxpayers with tax relief on depreciation recovery income resulting from buildings being earthquake damaged.

Revenue Minister Todd McClay announced the current time limit for the tax measures, due to expire at the end of the 2016 income year, would now be extended until the end of the 2019 financial year.

To gain access to the tax relief extension, people must show a commitment to rebuild in Canterbury.

"Our objective is to help create an environment that will support people and businesses in Canterbury to get back on their feet.

"Reinvestment in Canterbury is crucial, and the proposals I am announcing today are tailored towards conditions in Canterbury.

"Firstly, we understand that reinvestment in Canterbury is occurring through groups of investors teaming together, rather than sole investors. So to ensure that the roll-over relief continues to be available in this situation, the proposal is that the rollover relief continues to benefit the original property owner," Mr McClay said.