Deciding ordinarily resident

Generally a client must be ordinarily resident in New Zealand to receive a benefit.

Ordinarily resident means someone who is normally and lawfully in New Zealand and intends to stay here, that is they consider New Zealand to be their home.

Whether a person is ordinarily resident is a question of fact and degree and their intentions during any period of absence is the most important factor.

Where it is not clear if a client is ordinarily resident, consider the following:

(a) The client's intentions toward New Zealand (that is, the reasons for their absence from New Zealand and the reasons for their return). Are they going overseas for a holiday or are they intending to live overseas permanently (sighting return air tickets is a good indication)?

(b) The length of time they spend in New Zealand on a continual basis

(c) Property ownership (as this tends to suggest permanent ties with a place), including other asset ownership (for example boats, cars or caravans)

(d) Where are their cash assets held?

(e) Is their income earned in New Zealand or overseas, and do they pay New Zealand taxes?

(f) Do they still vote (or are they eligible to vote) in the New Zealand election?

(g) Their commitment to New Zealand (for example their involvement in the community, community events, clubs and other groups)?

Note a person cannot be ordinarily resident in two places at the same time.

You must consider all the factors of each individual case.

You may need to ask more questions (or for clarification of information you have) to get all the relevant information and then you must weigh up all the facts and make a decision.

The client should be given the benefit of the doubt in situations where their ordinarily residence isn't clear.