Paying your Tax in person at Westpac Banks

IRD are no longer accepting payment via cheque, however, there is still a way that you can pay in person at Westpac Banks. You can make Cash or EFTPOS payments to the IRD by visiting a Westpac branch or Westpac Smart ATM. To do this you must either: Bring your return or statement that shows a barcode Create a barcode before your visit How to create a barcode for your…  Read more

How to pay tax

Have you received the latest update from Inland Revenue with ways you can now pay your tax? Read on to find out more… No more cheques – pay online instead From 1 March 2020 IRD will stop accepting payment by cheque, including cheques dated after 1 March. The safest and quickest ways for you to pay tax is online – either in myIR or through your bank. For more information on…  Read more

Five things you need to know before Christmas

As Christmas draws closer, here’s a quick list of five things as an employer you should be aware of when it comes to minimum legal employment rights. 1. Is closing down a workplace at Christmas legal? Yes. An Employer may close down a workplace if the processed is managed lawfully. Employees must be given at least 14 days’ notice of the closedown. An employer may have a regular closedown once…  Read more

Tradie Cashies becoming a thing of the past

IRD is looking hard at tax crime in the building sector – are you declaring all your income? Have you had a customer ask for a cash discount? You know – so it doesn’t “cost as much” because it doesn’t have to go through the books. Who really pays for that discount? Tradies around the country who do undeclared cash jobs, discounted for their mates or simply to give the…  Read more

Taking on staff? What do you need to know?

So you’re ready to hire your first employee, congratulations! You’ve had subbies working for you for years, so what’s the big deal? Most tradies will one day find themselves in the position that they’ve got a good crew of guys who do an awesome job and they want to keep them happy. This awesome crew might still subcontract back to the head contractor (the business owner), which is always a…  Read more

FBT Basics: What’s a non-cash bonus?

FBT, or Fringe Benefit Tax, can be confusing at the best of times, especially if you are a small to medium business with a handful of employees. Recently we’ve had clients asking if they can pay for certain items and avoid paying PAYE for the employee, unfortunately this is not the case – the tax must be paid somewhere! Sometimes it’s about identifying the situation and ensuring the best solution…  Read more

When should I register for GST?

I’m making sales, woo hoo! Now what? We often are asked, “When should I register for GST?” It’s good to know that you don’t have to register for GST just because you start trading and selling goods and/or services. You do however have to register for GST if you carry out a taxable activity, and: Your turnover was $60,000 or more in the last 12 months or will be $60,000…  Read more

ACC Refunds: Do you qualify?

About 300,000 business customers were charged incorrect ACC levies since 2002. Here’s how you can find out if you’re one of them. If you’re unsure, give our office a call on 09 435 5595 and we can investigate for you also. Are you owed a refund? If you were in your first year of self-employment between 2002 and 2017, or paid provisional ACC levies after ceasing trading, ACC may owe…  Read more

Anti-Money Laundering – Sounds intriguing doesn’t it?

Accountants and Bookkeepers fall under the Anti-Money Laundering and Counter Finance Terrorism legislation as of 1 October 2018 which means more compliance activities are going to be required when agreeing to work together. The requirement is to verify identities of those we work with, so don’t be alarmed if the process of working with an organisation who falls under the Act (Accountants, Bookkeepers, Banks, Real Estate Agents, Lawyers etc) becomes a…  Read more

Making changes to Employment Agreements

From time to time, the terms under which you have employed a team member originally may change. This could be as simple as giving them a payrise, or slightly more complicated such as changing from a permanent full time agreement to a casual basis. It’s important to document each change in writing to ensure you, and your employee, remain on the same page and understand the expectations of the employment…  Read more

New IR mileage rates

From the desk of The Commissioner of Inland Revenue. The Commissioner has issued a new Operational Statement 18/01 – Commissioner’s statement on using a kilometre rate for business running of a motor vehicle. This updates and replaces the previous Operation Statement issued in May 2009. The new rules allow the choice between using the cost method (which is based on keeping records of actual costs incurred) or a kilometre rate…  Read more

Domestic Violence – Victims Protection Bill becomes law

The Domestic Violence – Victims Protection Bill has passed its third reading in Parliament. It aims to enhance legal protections in the workplace for people affected by domestic violence. The changes will come into effect on 1 April 2019. The new law entitles employees affected by domestic violence to up to 10 days of paid domestic violence leave per year, in order to deal with the effects of domestic violence.…  Read more

Company Fined over Serious Employment Breach

Auckland builders Juno Homes and EXP fined for serious employment breach Two Auckland building companies have been fined $7,500 for employment law breaches, as they failed to keep employment records or ensure workers were paid correct holiday pay. The firms then also failed to comply with a notice to fix issues that the Labour Inspectorate sent them in March 2017. Good employment relationships start with a good recruitment process so…  Read more

Calculating Holiday Pay – Don’t Get Caught Out

Bunnings NZ have announced it will back pay staff $11 million as part of its efforts to comply with the Holidays Act 2003. Paying employees annual leave (or holiday pay) can sometimes be a confusing business, especially when the Holiday Act can be challenging to even understand in the first place. There’s been a number of businesses recently in the media who have been subject to a 2016 government report…  Read more

Are you failing to make or pay deductions?

Employers must make deductions for PAYE, ESCT (employer superannuation contribution tax) formerly SSCWT, student loan repayments, child support and KiwiSaver contributions when required, from any payments made to employees. Failure to do this is a serious offence and can result in penalties and fines being imposed. Anyone who knowingly fails to make deductions can be fined up to $25,000 for a first offence and $50,000 for subsequent offences. Shortfall penalties…  Read more

Business Owner banned from hiring staff

It pays to get those employment contracts right and ensure minimum contractual requirements are meet when hiring staff. From the Ministry of Business, Innovation & Employment 5 April 2018 A Christchurch business owner has been banned from hiring staff for three years after he was found to have intentionally and persistently breached employment law. The former owner of Christchurch bar and eatery, Watershed Bar and Restaurant, and restaurant, Sequoia 88, and the…  Read more

Wage increases April 2018

Minimum Wage Increases as at 1st April. The minimum wage increases by 75c on 1 April 2018. The new rates are: Adult $16.50 per hour Starting out $13.20 per hour Training $13.20 per hour You and your staff can agree to any wage above the minimum rate. If your employment agreements are a few years old, you can use this as a chance to update them. Please note that it is…  Read more

Payday reporting

The payroll landscape is constantly changing, and not just for businesses and staff, but those of us who have responsibility of ensuring employees pay is correct.  The Payday Reporting legislation is currently before parliament and proposes to change the way payroll information is reported to the IR. Currently reporting is done on a monthly basis by way of filing our PAYE returns (EMS and EDF schedules along with Kiwisaver forms).…  Read more

Paye as you earn – AIM

Pay-as-you-earn tax (AIM) – what does that mean for you? From April 2018, small businesses, sole traders and contractors can choose a new pay-as-you-earn option, rather than paying provisional tax in instalments several times a year. The IR are introducing the Accounting Income Method (AIM) so you can pay tax based on the profit in your business during the year.  This aligns with the GST monthly or two monthly periods…  Read more

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