“Simplifying” Provisional Tax: Accounting Income Method

Keitha McClure Accounting & Compliance, Managing Cash, Reducing Tax

So the IRD are trying (and more-or-less failing…) to simplify Provisional Tax. In a valiant effort, they’re bought in the “Accounting Income Method” (AIM). In short, from 1 April 2018 you’re able to pay Provisional Tax based on your business’s profits. The idea is good – pay your tax when you earn the money. The detail isn’t so good – …

Expenses: What can I claim?

Eugenie Jones Accounting & Compliance, Odds & Ends, Reducing Tax

A question often asked by independent contractors and small business owners. Independent contractors can claim a number of expenses. However, they have to be legitimate business expenses. These are expenses that are necessary for your business to derive income. Basically anything that is in line with the nature of your business and has helped you to create your income will …

Accounting & Tax on Christmas Presents

Hamish Mexted Accounting & Compliance, Odds & Ends, Reducing Tax

Accounting & Tax on Christmas Presents Christmas is coming and it’s the season of entertainment and gift giving! During this time, the Chartered Accountant in us comes out and we start looking at the accounting and tax on Christmas presents.   Tax on staff Christmas Presents Non-cash goods/services that are given to your staff members are dealt with under the …

Budget 2015 – Tax Law Changes

Riann Umaga-Marshall Accounting & Compliance, Reducing Tax

Last month, tweaks to the rules on taxing gains on property sales were announced. As the law currently stands, if you buy a property with the ‘intent’ of selling it and making a gain, you’re required to pay tax on that gain. This hasn’t changed. In short, what the Government is doing will make the ‘intent’ rule apply in more …

Rental property changes

Hamish Mexted Asset Protection, Reducing Tax

There’s been a lot of talk lately about tax and interest rate changes on rental properties. Here’s a very quick run through on the questions we’re frequently asked: What does Capital Gains Tax mean for me? Our quick answer is not to panic on this one. Even though the Reserve Bank are raising it, it’s been beaten to death through a …