The bright line rules have been called a capital gains tax by stealth, designed to tax realised gains on residential property sold within a few years of purchase. The new bright line rules announced on 23 March 2021 apply from 27 March 2021 and are likely to trip many people… Read More
Continue ReadingTaxes have always been used by governments as a way of encouraging or discouraging behaviour. That is why a packet of cigarettes currently costs around $38 in NZ. Recent governments have used the tax rules to try unsuccessfully to curb house prices and the popularity of property investment in NZ. … Read More
Continue ReadingI was commuting when I heard that Team NZ had overtaken the Italians in light wind winning Race 7, and were leading in Race 8 of the America’s Cup Regatta. The Southern motorway was slow, perhaps even slower than the breeze on the Waitemata Harbour at the time. Then a… Read More
Continue ReadingWith 31 March only several weeks away some business owners will be thinking about prepaying expenses to reduce taxable profit. But care is needed to ensure that a payment can be deducted for tax purposes. Purchase of Assets As mentioned last week, assets with a useful life of more than… Read More
Continue ReadingWith 31 March fast approaching its timely to check you’re ready for the 2022 financial year. Q2’s Checklist to ensure the next financial year’s financial and business goals are achieved: Strategic business plan in writing for next 12 months? Do you have a business continuance plan (Coronavirus specific), and is… Read More
Continue ReadingBefore 17 March 2020 any business asset with a useful life of more than 12 months, that cost more than $500 + GST had to be capitalised and depreciated. This meant that the tax deduction for those purchases was spread over a number of years, depending on the IRD’s assessment… Read More
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