Employee share schemes – employer deduction timing You may recall the relatively recent taxation changes to employee share schemes (ESS), which were effected by the passing of the Taxation (Annual Rates for 2017-18, Employment and Investment Income, and Remedial Matters Act 2018). The changes came into effect from 29th September 2018 and introduced the concept […]
Adverse event assistance For those of you with farming, growers or orchardist clients in the South Island who may have been financially affected by December’s hail storms, IR has released a reminder regarding the Income Equalisation Scheme (IES) discretions. The IES regime provides an opportunity for those affected by an adverse weather event, to self-assess […]
TRA case confirms IR’s ‘one project’ approach A recent decision of the TRA confirmed IR’s ‘one project’ approach when considering work undertaken by the taxpayer on a property that they owned. For those of you lucky enough to have read IR’s 2012 R&M interpretation statement IS 12/03, you will be well aware of IR’s view […]
Tax treaties and Covid-19 If you undertake a little bit of cross-border advisory work in your day to day, or you just like to keep abreast of what’s happening in the international tax community because that’s the type of person you are (a.k.a you have too much time on your hands), then I would suggest […]
From March 1st 2021, myIR will include a New Zealand foreign trust account. For those of you who look after foreign trusts for your clients, you will be able to: Manage account details online, including details of connected persons View previously provided NZFT information. File annual returns and make payments in myIR. Send messages to IR […]
IR has issued IS 21/01, the finalised interpretation statement titled “GST and agency”. The document explores the concept of whether a person is acting as an agent or as a principal for the purposes of the GST Act. In this regard, it is considered that there are two essential features in any agency relationship: Authority […]
IR has issued draft interpretation statement PUB00354, titled “GST – Registration of non-residents under section 54B.” For those of you that are not aware, section 54B provides a mechanism for those non-resident businesses who are not making supplies to end user consumers in New Zealand, but are incurring New Zealand GST costs for some reason […]
Due to the extension of the Small Business Cashflow (Loan) Scheme application period until the end of 2023, the eligibility criteria has now been updated, with the amendments effective 28th January 2021. There are four primary changes to the eligibility rules: Business establishment date: business or organisation must have been in operation for at least […]
Not a lot to talk about this week, not unsurprising I suggest, considering we are still suffering from post-holiday blues, although hard to believe the first month of 2021 is now behind us! IR has released guidance for those of you interested in investing in standout yearlings (both thoroughbred and standardbred) which have been purchased […]
In my first AWIR for 2021, I mentioned the release for discussion and feedback, of three documents which provide the Commissioners view on the correct interpretation of the general anti-avoidance provisions contained in sections BG 1 and GA 1 of the Income Tax Act 2007, and then some commentary as to those provisions’ application to […]
The previous binding rulings on the topic of salary, wages and bonuses paid in crypto-assets (BR Pub 19/01 & BR Pub 19/02) have been replaced via the issue of BR Pub 21/01: Income tax — salary and wages paid in crypto-assets, and BR Pub 21/02: Income tax — bonuses paid in crypto-assets. The conclusions reached […]
IR has issued an update to clarify how tax agents and other intermediaries can co-exist. In a nutshell: Tax agents can link to most account types with the exception of child support accounts, KiwiSaver and paid parental leave. A client authority is required to enable the agent to act, and only tax agents qualify for […]