Was talking to an ex ANZ Senior Manager today and we were discussing the way all the banks chase new customers and offer all manner of incentives but basically ignore you when it comes to simply renewing with the one you are currently with.
It's basically stupid but there ya go.
We talked about the issue of cash backs and it set me thinking.
How should cash backs be treated in your accounts?
Are they taxable as income. Well it seems that they maybe.
They are not part of the loan.
They are not a gift.
They are not really a benefit or you would be required to pay Fringe Benefit tax.
Anyone got any ideas.
I'm sure Inland Revenue have.
It seems rather silly to accept a cash back that's taxable when you could carve a bit more off you interest rate and that would be a greater benefit to you or even add a bit more to the loan.
It's basically stupid but there ya go.
We talked about the issue of cash backs and it set me thinking.
How should cash backs be treated in your accounts?
Are they taxable as income. Well it seems that they maybe.
They are not part of the loan.
They are not a gift.
They are not really a benefit or you would be required to pay Fringe Benefit tax.
Anyone got any ideas.
I'm sure Inland Revenue have.
It seems rather silly to accept a cash back that's taxable when you could carve a bit more off you interest rate and that would be a greater benefit to you or even add a bit more to the loan.
Comment