Many people are unsure whether or not their relationship counts as a de facto relationship for the purposes of the Property (Relationships) Act.  The standard, but misleading, rule that non-lawyers refer to is the three year test.  In reality, there are many more factors that will determine whether or not your relationship counts as de facto.

In deciding whether or not your relationship is de facto, the court will consider:

– the length of the relationship;

– the degree of financial interdependence;

– whether other people regarded you as a couple;

– whether there was a sexual relationship;

– performance of household duties;

– how your property was owned;

– the extent to which you lived together; and

– any other relevant factors.

If you don’t wish to be subject to the provisions of the Property (Relationships) Act – and you are getting into a new relationship – you need to see a lawyer and have a s21 agreement (pre-nuptial) drawn up as soon as possible.  Do not rely on the three year test.  You may be in a de facto relationship much sooner than you think.

Please contact me if you would like us to prepare a s21 agreement for you.

scottd@hewatgalt.co.nz; 03 218 3137

 

 

If you decide to put your house into a trust you may still be eligible for a rates rebate – even if you are not one of the trustees.

To be eligible for a rates rebate you must be the ratepayer. The ratepayer is the person who is named as a ratepayer in the rating information database and the district valuation roll. Usually that is the owner of the land.

The Local Government (Rating) Act 2002 says that the person who is entered into the rating information database is either:

1. The registered proprietor; or
2. the lessee, where the lease is for more than 10 years and provides that the that the lessee must be entered in the rating information database and the district valuation roll as the ratepayer in respect of the unit. That lease must also be registered against the title.

You will need a lawyer to set up a registered lease. The cost of setting up a registered lease is likely to be $600-$900 so you will need to weigh up the cost against the likely benefit.

Call us if you would like to arrange a registered lease in order to get a rates rebate.

The current Immigration NZ rules make it almost impossible for a person working on a dairy farm to get NZ residency – even if that person is the manager of their farm.

Skilled migrant visas operate on a points system. Applicants get points for experience, education, having ties to New Zealand as well as a range of other factors. One category is “Skilled Employment” – applicants get 50 points if they can show Immigration New Zealand that they have “Skilled Employment”. Almost everybody needs those 50 points to get across the line.

The only dairy farm job that is on the list of “Skilled Occupations” is “Dairy Cattle Farmer”. Sounds OK right? – wrong. Immigration NZ uses a classification system for skilled occupations that disqualifies almost everyone from being a “Dairy Cattle Farmer”. That classification system is based on the Australian Bureau of Statistics classification of jobs and (surprise, surprise) has little relevance to the way dairy farms operate in New Zealand.

To be a “Dairy Cattle Farmer” applicants must have primary responsibility for a number of tasks on the farm. Those tasks include the following:
• maintaining and evaluating records of farming activities, monitoring market activity and planning production accordingly
• managing business capital including budgeting, taxation, debt and loan management

The problem here I have yet to meet a dairy farm manager who has primary responsibility for those matters. Pretty much all farms have an owner who takes care of those sorts of matters and then gives instructions to the farm manager – often after meeting with farm consultants.

Even if farm manager participates in meetings where production planning and managing business capital etc is decided they still fall short of being “Dairy Cattle Farmers” because they don’t have ‘primary responsibility’ – insane.

Some people who are in their first year or two of dairy farming come to see me to get immigration advice. They want to know how they can go about becoming New Zealand residents. They often seem hard working and reliable people who want to make the best for their families. I tell them to go and work in a different industry. There is no pathway to residency for them in dairy farming.

Contact me if you need assistance with your visa application.

Scott Donaldson
scottd@hewatgalt.co.nz