Inland Revenue has issued a binding ruling affecting Property for Industry Ltd’s plans to internalise management.
The independent directors of the NZX-listed company said yesterday the binding ruling confirmed that the proportion of the payment to present manager PFIM Ltd relating to the proposed termination of its management contract would be deductible for income tax purposes.
The internalisation agreement remains conditional on approval by PFI shareholders at the company’s annual meeting on Thursday 22 June.
The company expects to send shareholders the notice of meeting in early June, including Northington Partners’ independent appraisal report on the merits of the internalisation.
3 April 2017: PFI proposes internal management after 6 years of external
Attribution: Company release.