September 18, 2019
The Inland Revenue is currently seeking feedback on amendments to the land taxing rules as they apply to “habitual renovators”. Generally, if you buy land with the intention of selling it to make a profit, you will be taxed on the proceeds of that sale. However, there are certain exemptions that apply to the sale of land where it is used by the person as their main home, residence or business premises.
March 19, 2019
After months of deliberations, public consultation and an interim report, the Tax Working Group (TWG) last month delivered its final report. Our Tax Director Maggie Jaques provides her review of how the potential impending changes will affect you.
March 14, 2019
The New Zealand Government last year indicated its intention to implement a research and development (R&D) tax credit from the 2020 income year (from 1 April 2019 for March balance dates); a measure designed to support creating a productive, sustainable and inclusive economy. The tax credit is good news for businesses who are investing in R&D activities. Draft legislation was introduced in December last year, giving us the first look at the proposed new rules.
August 3, 2018
Over the last few years there has been an increase in compliance reviews and audits from Inland Revenue or other government authorities. The roll-out of Inland Revenue’s $1.9 billion transformation project will mean that audits will be increasingly identified not by investigators poring over taxpayer accounts but by artificial intelligence, based on a comparison between an individual taxpayer’s records and those of all other relevant taxpayers.
May 10, 2018
Property Tax Changes ... Labour is making good on its election policies with tax changes introduced in March that are aimed at increasing housing affordability. Bright-line test extended to 5 years The first change being the (much anticipated) extension of the residential bright line test from 2 years to 5 years. Intention of bright-line rule – buying for resale always taxable The bright-line test you may recall, was introduced to tighten up the existing land taxing provisions. If you purchase land...
May 10, 2018
The government has released a discussion document seeking feedback on proposals to implement a R&D tax credit regime with effect from 1 April 2019. The proposed R&D incentive will be in the form of a 12.5% refundable tax credit on eligible expenditure available to businesses doing R&D in New Zealand. Board proposals The proposals are very much a work in progress, with feedback being sought on various aspects of the regime. However, in broad terms the R&D credit regime proposes: That...
April 4, 2018
Is tax working for or against you? The right advice can save time, money, penalties and last-minute frustration. Whether you’re a large corporate, SME, or high wealth individual, Maggie Jaques our new Christchurch Tax Director is ready to apply her knowledge and experience to achieve practical and pragmatic solutions and ensure tax works in your interests. “Even if you’ve just finished your taxation tidy-up for the last year, take a breath and refocus,” says Maggie. “There really is no better time...