As we close out another busy year, Q2 Ltd would like to thank all our clients for their continued trust and partnership. December has been a significant month for compliance updates, reminders, and year-end planning. Here’s a quick wrap-up to keep you informed heading into 2026.
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Key Updates & Reminders
Pending Signatures
If you have received tax returns, financial statements, or compliance documents requiring your signature, please return them as soon as possible so that we can file with IRD.
2026 Provisional Tax due 15 Jan 2026
If you are a provisional taxpayer (and not on 6 monthly GST filing) then you may have provisional tax due for payment by 15 January 2026. We have sent tax reminders out so please contact us if you are unsure.
GST Filing Deadlines
For clients on a two-monthly GST cycle, the next return and payment are due 15 January 2026.
Please ensure your records are complete and up to date in Xero to allow timely filing.
Payroll & Leave Planning
If your business is closing for the holidays, ensure payroll, holiday pay, and leave payments are correctly processed in advance — especially for Xero Payroll users.
Billing & Subscriptions
Let us know if there are changes in your staffing, payroll headcount, or subscriptions so we can update your records and Xero invoices accordingly.
Annual Accounts and Tax Return Preparation
Thank you to those who have already provided all required financial information for the 2025 year.
If you have not yet submitted your records, we encourage you to do so early in the new year to avoid delays in completing your financial statements and tax returns by the final tax filing deadline of 31 March 2026.
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Industry & IRD Updates
2026 Thresholds and Rates
Inland Revenue has introduced new thresholds and updates effective from early 2026.
2026 Thresholds and Rates
Inland Revenue and government agencies have released updated thresholds and key compliance changes taking effect from early 2026. Below is a summary of the new rates to help you prepare for the upcoming financial year.
ACC Earners’ Levy (2025/26 Income Year)
- Earners’ levy rate: 1.67%
- Maximum liable income: $152,790
Student Loan Repayments
- Repayment threshold: $24,128 per year
- Repayment rate: 12% on income above the threshold
KiwiSaver
- Employee default contribution options: 3%, 4%, 6%, 8%, 10%
- Minimum employer contribution: 3%
- Upcoming Change (from 1 April 2026): Default rates for both employers and employees will increase to 3.5% (as announced in Budget 2025).
Minimum Wage Rates (from 1 April 2026)
- Adult minimum wage: $24.50 per hour
- Starting-out / Training wage: $19.60 per hour
PAYE Tax Rates
- No new changes to income tax brackets announced for 2026 as of the latest IRD update.
Trust Compliance
A reminder that trusts continue to be subject to enhanced disclosure requirements.
Please forward to us any trust documents that you have signed so we can stay aware of your current trust situation for tax and planning purposes..
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Our Commitment to You in 2026
What You Can Expect From Us
- Proactive Communication: Timely reminders about deadlines and opportunities
- Strategic Tax Planning: Advice to minimize tax and maximize wealth
- Compliance Excellence: Accurate and timely filing of all tax returns
- Clear Communication: Plain-language explanations, not jargon
- Business Advisory: Insights to help you grow and prosper
- Dedicated Support: Your success is our priority
- Continuous Learning: We stay current with tax law changes and best practice
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Holiday Office Hours
Q2 Ltd be closing for Christmas from Monday 22 December 2025 to Monday 12 January 2026.
As in previous years we will be monitoring emails from time to time and responding to urgent matters if required – email ann@Q2.net.nz
Q2 extends our warmest Christmas wishes to all our valued clients, suppliers, and partners. We hope you enjoy a relaxing and joyful break. Please take care and stay safe on the water, and on the roads this holiday season.
We wish you a happy and prosperous holiday season!
Ann Cooper-Smith and the Q2 team