This may sound like a silly question, but for income tax purposes there are two types of company, and the main difference is in the way the profits (or losses) are dealt with. Regular company (my description). Unless you elect…
Shareholding changes in small companies
The Companies Office website is great for filing Annual Returns. Things which haven’t changed simply get ticked. And shareholders and directors can make shareholding changes easily too. Bur care is needed before noting shareholding changes. It’s easy to overlook some…
Rental properties in New Zealand
If you own rental properties in New Zealand you need to know what you can and can’t claim. Expenses you can claim rates and insurance. interest paid on money borrowed to finance your property. agent’s fees and commission – relating to…
Sale of company business – tax implications
Some time ago I dealt with a case typical of poor business tax planning. I’ve changed the figures and details to preserve confidentiality, but the income tax issue I highlight is real – and common. My clients, a middle aged…
Interest on your business loan – is it deductible?
If you’re in business in New Zealand and you borrow money, the interest you pay to the bank is deductible for income tax – right? Well, maybe it is, but there are plenty of traps to avoid. One is on-lending…