25. Certificates of exemption---(1) Section 327M (1) of the principal
 Act (as inserted by section 12 of the Income Tax Amendment Act (No. 2)
 1989) is hereby amended by inserting in paragraph (d), after the words
 ``Public Trustee'', the words ``or any company that would be a member of
 the same specified group of companies (as defined in section 191 (4) of
 this Act) as the Public Trustee were the Public Trustee a company for
 the purposes of this Act''.

   (2) Section 327M (1) of the principal Act (as so inserted) is hereby
 further amended by adding to paragraph (e) the following words and
 subparagraphs:

     ``or any person which is---
            ``(iii) A solicitors' nominee company to which rules made by
          the Council of the New Zealand Law Society under section 17 (2)
          (g) of the Law Practitioners Act 1982 apply; or
            ``(iv) A broker's nominee company to which the Securities Act
          (Contributory Mortgage) Regulations 1988 apply:''.

   (3) Section 327M (1) of the principal Act (as so inserted) is hereby
 further amended by inserting, after paragraph (e), the following
 paragraph:
   ``(ea) Any solicitor in relation to the operations of that solicitor's
          trust account, being a trust account maintained in accordance
          with section 89 of the Law Practitioners Act 1982:''.

   (4) Section 327M (1) of the principal Act (as so inserted) is hereby
 further amended by omitting from paragraph (h) the words ``paragraphs
 (2), (23), (24), (25), (26), (27), (28), (29), (30), (32), (33), and
 (44)'', and substituting the words ``paragraphs (2), (2A), (23), (24),
 (25), (26), (27), (28), (29), (30), (32), (33), (41), (44), and (50)''.

   (5) Section 327M (11) of the principal Act (as so inserted) is hereby
 amended by omitting the expression ``paragraph (f)'', and substituting
 the expression ``paragraph (g)''.

   (6) Section 327M (12) of the principal Act (as so inserted) is hereby
 amended by repealing paragraph (c).

   (7) Notwithstanding any provision of Part IXA of the principal Act (as
 so inserted), where any person (hereafter in this subsection called the
 ``first person'')---
   (a) Is entitled by virtue of the foregoing provisions of this section
         to make application in accordance with section 327M of the
         principal Act for the issue of a certificate of exemption (as
         that term is defined in section 327A of the principal Act); and
   (b) Makes such application on or before the 31st day of January 1990;
         and
   (c) Is issued with a certificate of exemption as a result of such
         application,---

 for the purposes of Part IXA of the principal Act in respect of any
 payment of resident withholding income made to the first person on or
 before the 31st day of January 1990---
   (d) The first person shall be deemed to have held a certificate of
         exemption at all times from the 1st day of October 1989 until
         the 31st day of January 1990; and
   (e) The payer of the payments shall be deemed to have sighted a
         certificate of exemption issued to the first person and to have
         taken reasonable steps to confirm that the first person is the
         person named in the certificate.