A proposal by an accountant industry body has forced the Government to consider simplifying the tax system for SMEs.
The paper serves up several proposals, including a micro business tax for businesses with turnover of less than $60,000. Another proposal is no GST registration for companies where a tax rate of 14 per cent for non-traders and 7 per cent for goods traders such as retailers would be paid on business turnover on a monthly basis.
Posted on 18 May '12 by editor, under News. No Comments.
Recognising the importance of a positive work environment is crucial to creating high levels of productivity, as well as employee retention rates, issues which become costly if ignored.
If negativity has crept into the workplace, it is important to address the issue so that the negativity does not become wide spread.
Regular communication between managers and employees is seen as the key to staff maintaining motivation and a high level of performance. This may include regular meetings, as well as team discussions and activities.
Posted on 11 May '12 by editor, under News. No Comments.
From the beginning of the 2012-13 income year, the tax treatment of shares held in Guinness Peat Group plc may change.
Portfolio investments in offshore companies, including superannuation schemes, foreign unit trusts, and life insurance policies, are usually taxed under the foreign investment fund regulation (FIF).
However, there are some exceptions including, a five-year temporary exemption for off-shore investments with a significant New Zealand shareholder base.
The only company to be affected by the legislation which was introduced in 2007 was Guinness Peat Group plc.
The five-year exemption will expire at the beginning of the 2012-13 income year, which may mean shares in this company will be taxed under the FIF rules.
If all the shares you or your client have in offshore companies (including Guinness Peat Group plc) had an original cost of more than $50,000, or the holder is not a natural person or a trustee of an eligible trust, then this may apply to you.
Posted on 12 April '12 by editor, under News. No Comments.
ACC’s $3.5 billion surplus in 2010/11 will save small businesses an average of more than $1100 annually through levy reductions which came into effect last month.
ACC’s continuous improvements in rehabilitation rates, combined with its surplus, has enabled the levy cuts which will reduce the levy on employers and self employed by 22 per cent – a saving of $1120 annually for small businesses.
For wage and salary earners, the levy will be reduced by 17 per cent – $170 annually for someone on the average wage.
The Earners’ Account Levy, paid by wage and salary earners, will be reduced from $2.04 to $1.70, and the average Work Account Levy, paid by the self-employed and employers, will decrease from $1.47 to $1.15 per $100 of liable earnings from April 1 this year.
Work levies for individual companies are dependent on their industrial classification and experience rating.
Posted on 12 April '12 by editor, under News. No Comments.
Changes to the employer superannuation contribution tax (ESCT) exemption will be effective from next month.
If you are contributing to a KiwiSaver scheme or complying find, the two per cent exemption from ESCT will be removed from April 1, meaning all your contributions will be liable for ESCT.
You can find out more information at www.ird.govt.nz.
Posted on 12 April '12 by editor, under News. No Comments.
Tax relief is available through the Inland Revenue Department for those affected by the Nelson floods in December last year.
If you are having difficulty making tax payments or if your income has been affected as a direct result of the disaster, then you may be eligible for tax relief and/or income assistance.
Contact IRD for further information.
Posted on 12 April '12 by editor, under News. No Comments.
Investors who sold shares which they obtained as part of the United Finance/Allied Farmers and Hanover Finance debt-for-equity swap in 2009 may be eligible to deduct their losses, the Inland Revenue Department has confirmed.
The IRD would consider cases where it could be demonstrated that the shareholder’s main objective in obtaining the shares was to resell them.
The loss would be calculated on the price of which the shares were initially issued, which was about 20.69 cents less than the sale price, and any fees or commissions incurred.
Contact the Inland Revenue Department for further information.
Posted on 12 April '12 by editor, under News. No Comments.
From the beginning of the 2012-13 income year, the tax treatment of shares held in Guinness Peat Group plc may change.
Portfolio investments in offshore companies, including superannuation schemes, foreign unit trusts, and life insurance policies, are usually taxed under the foreign investment fund regulation (FIF).
However, there are some exceptions including, a five-year temporary exemption for off-shore investments with a significant New Zealand shareholder base.
The only company to be affected by the legislation which was introduced in 2007 was Guinness Peat Group plc.
The five-year exemption will expire at the beginning of the 2012-13 income year, which may mean shares in this company will be taxed under the FIF rules.
If all the shares you or your client have in offshore companies (including Guinness Peat Group plc) had an original cost of more than $50,000, or the holder is not a natural person or a trustee of an eligible trust, then this may apply to you.
Posted on 20 March '12 by editor, under News. No Comments.
ACC’s $3.5 billion surplus in 2010/11 will save small businesses an average of more than $1100 annually through levy reductions which came into effect last month.
ACC’s continuous improvements in rehabilitation rates, combined with its surplus, has enabled the levy cuts which will reduce the levy on employers and self employed by 22 per cent – a saving of $1120 annually for small businesses.
For wage and salary earners, the levy will be reduced by 17 per cent – $170 annually for someone on the average wage.
The Earners’ Account Levy, paid by wage and salary earners, will be reduced from $2.04 to $1.70, and the average Work Account Levy, paid by the self-employed and employers, will decrease from $1.47 to $1.15 per $100 of liable earnings from April 1 this year.
Work levies for individual companies are dependent on their industrial classification and experience rating.
Posted on 8 March '12 by editor, under News. No Comments.
Changes to the employer superannuation contribution tax (ESCT) exemption will be effective from next month.
If you are contributing to a KiwiSaver scheme or complying find, the two per cent exemption from ESCT will be removed from April 1, meaning all your contributions will be liable for ESCT.
You can find out more information at www.ird.govt.nz.
Posted on 8 March '12 by editor, under News. No Comments.