Tax Law Issues
THE LEAKY BUILDINGS CRISIS, 2011
16 Pages Posted: 26 Jun 2012 Last revised: 27 Jun 2012
Date Written: December 15, 2011
Abstract
In New Zealand alone there are 42000 building structures that are caught up in this problem. The economic cost is estimated at $11.3 billion. This chapter looks at the tax issues associated with New Zealand's leaky buildng crisis focusing in particular on the deductions available for repairs and maintenance. It therefore reviews the capital revenue distinction in the context of repairs being made to a defective design or structure.
Keywords: repairs and maintenance, deductions in respect of leaky buildings, capital and revenue
JEL Classification: K34
Suggested Citation: Suggested Citation