Remember the new tax rules for trusts
The 2021-2022 income year saw new disclosure rules for domestic trusts, requiring trustees to prepare financial statements and provide extra information with their income tax returns. Trustees need to disclose identification details such as name, date of birth, IRD Number and country of residence of all historical settlors where reasonably available. Make sure you’re up […]
Review your property portfolio
Major changes were introduced in 2021 limiting property investors’ ability to deduct interest payments on loans for residential homes from their tax bills. Interest on loans for residential properties purchased after March 2021 is no longer deductible. For residential investment properties bought before March 2021, there’s a phase-out of the old interest deductibility rules that […]
Watch your FBT
The Fringe Benefit tax rate rose to 63.93% in April 2021, but nearly two years later, many businesses are yet to review the impact. Before 2021, most employers used the single rate option to pay FBT on benefits provided at a flat rate of 49.25%. Have you reassessed the cost of increased FBT? FBT is […]
Time to repay your Small Business Cashflow loan?
Review any lending received through the Small Business Cashflow Loan Scheme. The scheme was extended to 31 December 2023, and businesses that have repaid their loans can re-borrow until that date. Under the scheme, a top-up loan allows businesses that have already accessed lending to draw down an additional $10,000 (or more for businesses that […]
Check your Covid support
The worst of the Covid crisis might be behind us, but there are still important things to remember if you have received government support since 2020. Made an incorrect application? If you received a Covid-19 support payment and weren’t eligible, you’ll need to let Inland Revenue (and us) know ASAP. The quickest way to disclose […]
Higher income? Don’t forget provisional tax!
2022-23 was the first year in a while without Covid lockdowns or pandemic restrictions, meaning most businesses, especially those in the leisure or tourism sectors, enjoyed a better year. If you’ve earned significantly more this year than in 2021-2022, congratulations! But you may want to consider an additional voluntary provisional tax payment to Inland Revenue. […]
Consider asset write-offs and sales
Review fixed assets and identify any that can be written off. Assets purchased on or after 17 March 2021 and below the value of $1,000 can be written off immediately (in most cases). Make sure assets purchased or sold as part of a sale/purchase agreement align with the purchase price allocation in the relevant agreement. […]
Don’t forget – timely reminders for April 2023
Digital boost for SMEs extended
At the height of the pandemic in 2020, the government announced its free Digital Boost support package to help small businesses transition to a digital world. The scheme was such a success, the following five services will be available until the end of June. Disclaimer: This blog has been carefully prepared, but it has been […]
Why angel investors can be a godsend
If you run an innovative company offering the world something new, a partnership with an angel could be right for you. Angel investors are a great match for fast-growing businesses who want funding and are willing to hand over a slice of equity. In most cases, there are no collateral obligations to angel investors if […]
