New Zealand Case Law: Decisions & Judgments | LexChat

Topic

Shareholder drawings

Legal area

Court

24 Nov 2021

ONESTOP PROJECTS LTD (IN LIQ) v CORIN [2021] NZHC 3170

Citation

[2021] NZHC 3170
Court

High Court

Withdrawals of $237,932.23 from the shareholder current account were not shown to be validly authorised remuneration; accordingly, they are advances payable to the company and judgment is entered for the plaintiffs for that sum with interest and costs.
26 Jun 1998

Truscott v Accident Rehabilitation and Compensation Insurance Corporation

Citation

[1998] NZACC 134
Court

District Court

The drawings taken by the appellant were not 'earnings as an employee' within the Earnings Definitions Regulations or source deduction payments under the Income Tax Act; company accounts and IRD returns showed no salary credited, so the Corporation correctly calculated average weekly earnings for the 52 weeks prior to incapacity and its resulting entitlement calculation is upheld.