Tax

Update - Compulsory IRD Payday Filing

February 15, 2019
From 1st of April 2019, the payroll process will be getting streamlined for business owners and payroll teams. All businesses who pay employees or contractors will need to switch to Payday Filing.

Tax Audit Insurance - What Is It and Do I Need It?

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.

Property tax changes & Bright-line test extended to 5 years

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...

Government consulting on R&D tax incentives

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...

Our new Christchurch Tax Director makes tax less taxing

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...

Tax tips, traps and troubles

February 21, 2018
Get organised for annual accounts. The 31st of March is rapidly approaching. Now is a good time to think about getting organised for your annual accounts to minimise hassles. The following comments are based on a 31 March balance date. If yours is different, please adjust accordingly. If you have bad debts, write them off before you get to 31 March or you'll have to include the amount owing to you in your sales for the year. If you have...

Meet Our Talent

November 21, 2017
Andrew Kidd, Associate. Andrew has 8 years’ experience at Nexia Chartered Accountants, working with a variety of clients across multiple industries which include Medical Practitioners & Property Investors. His diverse client base allows him to apply his knowledge across varying client scenarios. He particularly enjoys working with clients to assist them in fully understanding not only their tax obligations, but also what the numbers mean.

More In Your Pocket From 1 April 2018

July 5, 2017
Did we expect an easier ride from an election year budget? Yup. And we got it. The 2017 Budget’s bottom line is to boost spending, ease taxes and give some extra legroom to our growing population and economy. The Budget combines tax breaks for working families with support for innovation and investment in business. Tax brackets There’s a broad recognition that while the average wage has risen, the tax rates haven’t flexed to accommodate it. Moves into a higher tax bracket...

Miles to go - Changes proposed for motor vehicles

March 21, 2017
Currently close companies (such as LTCs and QCs) providing a motor vehicle for the private use of shareholder-employees must pay FBT on the value of the benefit provided. This value is based on the availability of the vehicle rather than its actual private use and this means higher FBT compliance costs for close companies. New option for close companies The recently introduced legislation changes this for the 2018 tax year (i.e. from 1 April 2017 for standard balance date taxpayers). Under...

Write off Bad Debts

March 21, 2017
With 31 March looming as the end of many businesses’ financial year, there’s always the prospect of paying too much tax, It doesn’t need to be this way. One of the biggest issues is the importance of writing off bad debts. It seems almost every year we have a client for whom we prepare the annual financial statements, who has a large amount of money owing to them. When we get the results for the year we find there is a...
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