The Fund pays tax on its investment income. The amount of tax varies depending on the type of investment. As a PIE the Fund will pay these taxes:
- NZ Shares –dividends are taxed
- Australian Shares – most are taxed on dividends but a few are taxed the same as global shares
- Global Shares –a number of options exist but generally tax is based on 5% of the opening market value of the shares
- Property – net rental income is taxed
- Fixed Interest – interest income and changes in market value is taxed
- The tax payable is calculated on each member’s share of taxable income at the member’s individual tax rate