- Subdivision projects may be considered taxable activities for GST purposes
- Must register for and charge GST if carrying on a taxable activity and value of supplies exceeds $60,000
- Subdivisions resulting in sale of multiple lots are more likely to be continuous or regular
- Selling only one lot may not be considered continuous or regular unless activity level is very high
- Selling more lots increases likelihood of subdivision being continuous or regular
- Level of activity and number of lots sold are factors in determining if subdivision is continuous or regular
- Scale of subdivision and level of development work are factors in determining level of activity
Source: taxtechnical.ird.govt.nz
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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