This issue we talk about MyIR, who is an independent contractor or employee and you probably know that the property brightline test was extended to 10 years, but did you know the other significant change?
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With increased technology, data matching and information sharing, Inland Revenue has far more information available to it to determine whether taxpayers are returning all income.
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Thirty-one March, the standard New Zealand balance date is not far away. This article discusses year-end issues that it may be prudent to consider.
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The case itself was about the Commissioner of Inland Revenue taking steps to liquidate the company because of non-payment of tax debt. However, it also highlights several fundamental tax and company law issues.
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The impending implementation of the Trusts Act 2019 has prompted many people and their advisors to question whether existing trusts should be retained or wound up. This article focuses on potential tax issues that trustees and their advisers may wish to consider.
Read MoreThis issue of Tax Bites focuses on the tax obligations relating to the depreciation of commercial buildings, Writing-off of low value assets, the wage subsidy and the remission of UOMI in the current COVID-19 environment.
Read MoreI have received several queries in respect of “working at home” costs during Covid-19 lockdown. This article provides a summary of the position…
Read MoreGiven that the company tax rate is 28% and the top personal tax rate is 33% (on income above $70,000 per annum) there is a temptation for many small to medium business owners to leave profits in the company once their personal income is $70,000.
Read MoreIn this article I discuss:
1. Information sharing by financial and other institutions;
2. Inland Revenue is being more proactive;
3. Inland Revenue Raids; and
4. A brief discussion about tax avoidance and evasion.
The following discussion reflects the adage that GST is 95% easy and 5% difficult.
Read MoreThis article focuses on GST issues relating to short - stay accommodation providers to whom I have offered advice recently.
Read MoreThis issue focuses on common issues for family-owned businesses.
Read MoreIn this issue I am highlighting common misconceptions and mistakes made by taxpayers AND examples of poor advice from advisers that I have encountered in recent years.
Read MoreThere is a saying that “an old tax is a good tax”, basically because it is in place and people are used to it. Typically, there is always negative reaction to both the discussion and implementation of new taxes. The bulk of comment about the Tax Working Group’s (TWG) recommendations has focused on a capital gains tax (CGT).
Read MoreInland Revenue have established specialist teams at various District Offices to review non-compliance for income tax, and possibly GST, by providers of Airbnb and other short-term accommodation. It is relatively easy for Inland Revenue to establish that income from short- term accommodation has been earned.
Read MoreI confess that I invariably regard management fees between associated persons or related parties with some skepticism, even though I have not worked for Inland Revenue for nearly 24 years. Are the fees legitimate payment for services provided, a legitimate tax planning tool, or a mechanism to transfer funds as there are no viable alternatives?
Read MoreAlthough New Zealand has had GST for over 30 years, taxpayers and advisers alike continue to make errors. This article discusses the four most common GST errors and the rules for correcting GST errors.
Read MoreChanges in shareholding can result in unintended tax consequences. In this article I highlight some of the (i) main tax issues to consider and (ii) commonly-held misconceptions. Note, the following comments do not apply to QCs, LTCs, or listed companies.
Read MoreThis month in Tax Bites, we discuss Foreign Tax Credits and GST for Exported Services
Read MoreA recent case, Van Uden v CIR, highlights the potential significance of a property owned by a trust being an individual’s permanent place of abode and thus triggering tax residency.
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