Converting Residence to Permanent Residence

[nz_newbie]

We were granted residence with 2 years travel conditions(old PR) and we arrived in Auckland on March 23 2012.Currently both of us are working in Auckland.My partner(principal applicant) has been working in NZ from the date of arrival.

Now my partner has got a fantastic job offer in the US. While we don't want to leave NZ,we feel this is a golden opportunity which we don't want to miss.We intend to return back to NZ after a couple of years.

The current situation is that my partner has to travel to US in March(completing 1 year out of the 2 year period). I have been reading the page http://www.immigration.govt.nz/migra...quirements.htm,and understand that if my partner completes 41 days of stay in the next year, we are eligible for residency. I will be continuing to stay in NZ till we get IRRV(completing the whole of 2 yrs in NZ commitment)

Kindly let me know if there is a chance to get Permanent Residence

[JandM]

From your mention of the 41 days, I guess you are looking at either the 'tax residence status' qualification, or the 'established base in New Zealand' one. If your partner meets the regulations under either heading, and applies after holding Residence for a minimum of two years, you CAN get PR on these grounds.

Here's the section of the INZ operational manual that gives the instructions in more specific detail.

RV2.5 How do resident visa holders or former holders qualify for a permanent resident visa?

Upon application principal applicants will be granted a permanent resident visa if:

they either:
hold a resident visa, and have held that resident visa continuously for at least 24 months at the time of application; or
have held a resident visa in the three months before the application is made, and had held that resident visa continuously for at least 24 months before it expired; and
their first day in New Zealand as a resident (R5.66.1(b)) was at least 24 months before the application is made; and
they can demonstrate a commitment to New Zealand by meeting the requirements set out in any one of the five subsections below (RV2.5.1 to RV2.5.20); and
they have met any conditions imposed under section 49(1),of the Immigration Act 2009;
unless RV2.10 (Permanent resident visas for holders of resident visas with section 49(1) investment conditions) applies.

RV2.5.1 Significant period of time spent in New Zealand

A principal applicant has demonstrated a commitment to New Zealand if they have been in New Zealand as a resident for a total of 184 days or more in each of the two 12-month portions of the 24 months immediately preceding the date the date their application for a permanent resident visa was made (ie, in each of the two 12-month portions, a period or periods that amount to 184 days or more).

RV2.5.5 Tax residence status in New Zealand

A principal applicant has demonstrated a commitment to New Zealand if:

they have been in New Zealand as a resident for a total of 41 days or more in each of the two 12-month portions of the 24 months immediately preceding the date the application for a permanent resident visa was made (ie, in each of the two 12-month portions, a period or periods that amount to 41 days or more); and
they are assessed as having tax residence status (RV1.15.10) for the 24 months preceding their application.
RV2.5.10 Investment in New Zealand

A principal applicant has demonstrated a commitment to New Zealand if:
he or she was approved a resident visa under the Business Investor Category, and has met any conditions imposed (see BI to 26/11/2007) under section 49(1) of the Immigration Act 2009 (except travel conditions); or
he or she has been approved a resident visa other than under the Business Investor Category, and has maintained an investment in New Zealand of N.Z.$1,000,000 or more that complies with the rules for investment funds set out in RV2.5.10(b) below for a period of 24 months or more after the date the resident visa was granted.
Principal applicants applying for a permanent resident visa under RV2.5.10 (a)(ii) must meet the following rules for investment funds:
investment funds must originally have been transferred to New Zealand through the trading bank system, or have been earned or acquired lawfully in New Zealand; and
investment funds must be invested in New Zealand in New Zealand currency; and under normal circumstances, be capable of providing a commercial return; and
apart from the interest earned from the investment, investment funds must not be used for their own personal use, for instance investment in assets such as a personal residence, car, boat or similar; and
investment funds must not be used as collateral for any loan during the 2 year investment period, unless the money loaned remains within New Zealand and in New Zealand dollars only; and
if the investment funds are moved from one investment to another during the two year period each investment must also meet the rules for investment funds.
Note: Investments in New Zealand with international exposure are acceptable only for the proportion of the investment that is retained in New Zealand.
Example: An investment in a unit trust with sole international exposure would completely fail to meet the above requirement that an investment be "invested in New Zealand".
RV2.5.15 Establishment of a business in New Zealand

A principal applicant has demonstrated a commitment to New Zealand if they have been approved a resident visa under any category, and have successfully established a business in New Zealand that has been trading successfully and benefiting New Zealand in some way for at least 12 months immediately preceding the date the application for a permanent resident visa was made.
Principal applicants applying for a permanent resident visa under these instructions will be considered to have successfully established a business in New Zealand if:
they have established or purchased, a business operating in New Zealand; or
they have invested in a business in New Zealand by purchasing 25% or more of the shareholding of an established business.
For the purposes of these instructions evidence that a business is trading successfully and benefiting New Zealand in some way is production of a set of the latest accounts relating to that business certified by a New Zealand chartered accountant and which confirm that in their view the business is a going concern.
RV2.5.20 Base established in New Zealand

A principal applicant has demonstrated a commitment to New Zealand if they have established a base in New Zealand. A principal applicant is considered to have established a base in New Zealand if:
each and every member of their immediate family who was included in their application for a resident visa has resided in New Zealand for at least 184 days in the two year period immediately preceding the date the application for the permanent resident visa was made; and
they have been in New Zealand as a resident for a total of at least 41 days in the 12 months immediately preceding the date the application for the permanent resident visa was made; and either
they own and maintain a family home in New Zealand; or
they have been engaged in full time continuous genuine employment in New Zealand immediately preceding the date the application for the permanent resident visa was made.
For the purpose of these instructions applicants are considered to own and maintain a family home in New Zealand if:
they have purchased a residential property in New Zealand within 12 months of their first day in New Zealand as a resident and still own that property either solely or jointly with members of their immediate family who were included in the application for a resident visa; and
they and/or members of their immediate family who were included in the application for a resident visa occupy that property.
Evidence of owning and maintaining a home in New Zealand includes but is not limited to items in the name of the applicant and/or members of their immediate family who were included in the application for a resident visa such as:
mortgage documents or title deeds to the residential property
rates demands
home and contents insurance cover
invoices for telephone, electricity, gas, or water
documents showing that household effects have been moved to New Zealand
For the purpose of these instructions, applicants are considered to have been engaged in full time continuous employment in New Zealand if they can produce evidence of genuine full time paid employment in New Zealand for a period or periods amounting to at least 9 months in the 24 months immediately preceding the date the application for the permanent resident visa was made. Employment involving payment by commission and/or retainer is not acceptable. Self-employment is acceptable if they can produce evidence of genuine lawful active involvement in the management and operating of a business in New Zealand which the principal applicant has established, purchased, or has a shareholding in.

[nz_newbie]

Does 41 days tax residence status mean that one should be employed in NZ for all the 41 days?

Thanks!

[nativecolo]

You will need to visit IRD and get a tax residence certificate. They will send you some forms to fill beforehand.

[JandM]

Does 41 days tax residence status mean that one should be employed in NZ for all the 41 days?

Thanks!

You'd need to check that with INZ and the IRD. Based on this wording in INZ rules, I don't think so, but there may be more laws that apply to the tax side of things.

[shawankit]

My understanding is you qualify for tax resident only when you pay your taxes to IRD for that particular complete year , so in your case your partner must pay taxes for earnings in US to IRD in NZ .

Note : My udnerstanding may be incorrect and its best to check with IRD & INZ directly.

[nativecolo]

This depends on the circumstances. If you do not qualify to be tax resident in the US then you can consider NZ as you geographical tax base.

For example, in my case, I worked in two other countries for 3 months each (one being the US) so I could not be tax resident in either. In my case I did stay in NZ over half the year, so even if I did not have income I would be tax resident in which case I can claim to be tax resident but paying tax on income which happens to be zero.

As this shows, the matter depends on circumstances and where you live as well. In the end I opted to wait till I was geographically resident and filed my application yesterday.

I understand that your case may be quite different, and given that IRD is the certifying authority (per INZ when I asked them), best to speak with IRD.

[nz_newbie]

Hi,

Thanks for all the replies.My partner qualifies to become a US tax resident , since he is going to be there for more than 180 days.

Now we are seriously thinking of buying an apartment.Does apartment qualify to become a family home? Can it be rented when both of us are away from NZ?

How long do we need to collect electricity and other bills?

Thanks,
nz_newbie

[shahid_bh]

Hi,

Thanks for all the replies.My partner qualifies to become a US tax resident , since he is going to be there for more than 180 days.

Now we are seriously thinking of buying an apartment.Does apartment qualify to become a family home? Can it be rented when both of us are away from NZ?

How long do we need to collect electricity and other bills?

Thanks,
nz_newbie

Any update further on your situation? I'll appreciate the updated information.