Feedback sought on draft determination for Milk Price Futures Contracts

Advisers have sought assistance from Inland Revenue on the correct tax treatment of MKP Milk Price Futures Contracts, which are derivative contracts traded on the NZX Derivatives Market.

Inland Revenue officials have released for feedback a draft general financial arrangements determination for Milk Price Futures Contracts. The proposed determination is intended to clarify and simplify the tax treatment of these contracts. The finalised determination will apply to all such transactions entered into on or after 1 April 2020.

For more information see the consultation page and draft determination. The closing date for submissions is 13 December 2019.