What our
clients say

“When we were looking at buying our business, we got … …More

  • Bennetts Proactive newsdesk

    • Office Closures 25/03/2019
      Team Planning Day Our office will be closed on Friday 12 April 2019 for a team planning day out of the office. Easter We will ...More
  • Tax Updates – 2019 Tax Year Changes

    We have seen a number of tax changes over the last year or two – from both National and Labour.  With a change in Government during the year, we have also seen some of the National legislated changes repealed by the Labour Government.

    2019 Tax Year Changes Include:

    Increase in the minimum wage – recent changes have included:

    Provisional tax – recent changes have included:

    Provisional Tax – AIM

    This new AIM method has been introduced!  It’s a new method for calculating provisional tax that calculates payments on your level of taxable activity over that reporting period (GST period).  AIM is only available to certain approved cashbook systems which current is very limited.  In order to ensure the tax payments are as close to what the year end tax should be, adjustments need to be made at each GST period for Depreciation, Trading Stock, Livestock, Private Expenditure, Losses, Debtors and Creditors and Provisions (Shareholder Salary). 

    The Department are marketing this method actively at present but without seeing this in action, our initial thoughts are that you will make tax payments more frequently than you currently do and in order to calculate the liability, more of your time and effort will be required to arrive at the correct disclosure, e.g you will need to calculate stock accurately every two months rather than just at 31 March.   And from an IRD point of view, they will have up-to-date trading information more frequently as essentially you will disclose every 2 months.

    Repeal of National Government tax changes (Personal income tax)

    Repeal of National Government tax changes (Working For Families WFF)

    Labour Families Package – this package boosts income for low – medium income families by:

    Student Support – Increase in Student Allowance payments and Student Loan Living payments of $50/week for each and Fees-Free for new students (eligibility applies).

    These are only a snapshot of the tax changes already implemented, there is a lot more detailed information that sits in behind the legislation.   

     

     

    MENU