With the New Zealand Budget set to be released on 22 May 2025, it is worth looking over the ditch and seeing whether the grass in Australia is greener as a result of their Budget that was released on 25 March 2025. A tax cut was introduced for individuals. The rate applying to income between […]
Snippets: Australian budget Read More »
On the 29th March 2025, the Taxation (Annual Rates for 2024−25, Emergency Response, and Remedial Measures) Act received Royal assent. Of note is that the Act includes an amendment to section 89C of the Tax Administration Act 1994 relating to Inland Revenue’s (IRD) ability to amend an assessment without completing the formal disputes process. The
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From the 2021-2022 income years onwards, the Inland Revenue (IRD) introduced increased disclosure requirements for trusts. The increased disclosure requirements were aimed at supporting the Commissioner’s ability to evaluate compliance with tax rules, develop tax policy, and assist with understanding and monitoring the use of trust structures and entities. In effect, it appeared as though
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Most people have heard of “tax pooling”, but it is common for people to say they have heard of it “but, I don’t really get it”. Here is an explanation of tax pooling. For the purposes of provisional tax and tax obligations generally, a fundamental aspect is the “effective date” of a tax credit. This
When the unexpected happens — a fire, flood, or major equipment failure — insurance proceeds can provide some welcome relief. However, from a tax perspective, how that payment is treated isn’t always as simple as it first appears. While many businesses instinctively classify insurance proceeds as taxable income, this is not always necessary. Applying the
Navigating insurance proceeds and tax Read More »
The weather has certainly turned and it’s getting much cooler in the evenings. Our farmer clients have been blessed with much needed rain and those that could keep milking until mid/late May. The milk payout is an all-time high so even with some extra stock food costs we anticipate some larger tax bills. Please contact
From my desk: May – July 2025 Read More »
The schedular tax regime falls under the PAYE rules and typically applies to require tax to be withheld from self-employed individuals if they perform certain types of work, such as modelling or shearing. On its website Inland Revenue have noted non-compliance has been identified within the horticulture industry in relation to contractors not meeting their
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A common complaint about Fringe Benefit Tax (FBT) is that it is too complex, particularly when it comes to motor vehicles, which becomes a point of frustration given it is one of the most commonly provided benefits. This is borne out by how common it is for mistakes to be identified during an Inland Revenue
When is a motor vehicle subject to Fringe Benefit Tax? Read More »
Tax compliance can be complex, between income tax, GST, PAYE there is often a lot to manage and get right. It is therefore inevitable that from time-to-time mistakes will happen. When these moments occur the question then becomes “what do we do?”. The Inland Revenue requires taxpayers to make a correct assessment of their tax
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For some, the increase in the trust tax rate from 33% to 39% has prompted them to ask the question – should we wind up our trust? Rather than looking at the purpose of having a trust with a narrow tax lens, it may be of benefit to consider your circumstances more broadly and ask
Snippets: Trusts – The big picture Read More »
