Is eInvoicing worthwhile for contractors & small businesses?

If you are a small business owner or contractor you may have noticed the recent hype around eInvoicing. If you are wondering what it is all about and whether eInvoicing is right for you, read on. What is eInvoicing? eInvoicing is the direct exchange of data from one accounting system to another. By using eInvoicing you can electronically transfer an invoice at the push of a button, directly from your…  Read more

What is a fractional accounting team?

A fractional accounting team or fractional accountant, is a finance department or professional that works on a part-time, retainer, or contract basis. They bring the experience and expertise of a high-level accounting team to your business – without the cost of hiring full-time, in-house employees. Fractional accounting teams service several clients at once typically on a part-time, retainer, or contract basis. Their specialty is providing outsourced accounting, tax and bookkeeping…  Read more

Contractor vs employee: employment and tax implications

Depending on the nature of your business, you may have workers who are employees or contractors, or you may have both. Each has their merits, but it’s important to review which are which in order to meet your tax obligations. When you have an employee, you must withhold income tax as well as report on additional benefits. Contractors generally look after their own tax obligations but in some cases employers…  Read more

Simplify collection of payments: GoCardless

Want a better way to collect and manage recurring payments from customers? GoCardless is a payment processing app that allows users to set up and manage recurring payments online. The app is designed to simplify the process of collecting payments, especially for small and medium-sized businesses. If you have repeating invoices, then GoCardless is the system for you! Although there are a few ways to manage payments, a simple direct…  Read more

Guide to end of financial year payroll for 2023

This content was originally created by Smartly Payroll. The end of financial year (EOFY) is an important time to be on top of all things payroll, and we know it can be a stressful time for Kiwi business owners. To help you feel confident with the upcoming changes and requirements, Smartly have pulled together everything you need to know including: An overview of changes to legislation Processing your final pay…  Read more

Guide to deductible and non-deductible expenses for residential rental properties

If you own a rental property, it is important to understand what expenses are deductible to help lower your tax burden. Deductible expenses Generally, for an expense to be deductible, it needs to be incurred in generating the rental income while the property is either rented out or has been made available for rent. These expenses include ongoing and holding costs: Rates Insurance Cleaning Accounting fees Property management fees Travel…  Read more

Are repairs to your flood-damaged property tax deductible?

Northern New Zealand has seen an absolute deluge recently which has caused terrible damage to roads, houses and even caused deaths. While people begin the clean up, those who use their property to earn a rental income might be wondering, “are the repairs to my flood damaged property tax deductible?” As is often the case with tax law, the answer is “it depends”. Generally, if you replace an item like…  Read more

Things to watch out for with FBT on motor vehicles

There appears to be increased activity by Inland Revenue around Fringe Benefit Tax (FBT) compliance. They have updated the information on their website and recently sent “are you filing your FBT correctly?” emails to entities registered for FBT. This could be a sign that the IRD are looking closely at FBT at the moment so it is important that you get it right to save yourself in the event of…  Read more

GST rules for Airbnb operators set to change

A change to the rules around how GST applies to services in the platform economy, such as Airbnb and Uber, will likely come into effect on 1 April 2024 as part of the Taxation Annual Rates for 2022-23 Platform Economy and Remedial Matters) Bill (No 2). The proposal The Bill proposes that GST is to be levied on all platform economy supplies. For the individual suppliers who are not registered…  Read more

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