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Hello everone.
These are the latest tips from Jamie Tullocks newsletter.
Dear Scott,
Tax Tip One
Aligning GST and Provisional Tax
From 1 st April 2007 (yes – next month), GST return dates will be progressively aligned with business balance dates as the year proceeds. Businesses that complete returns to 28 February and have a 31 March income tax balance date will have to do a one month GST return, sometime during the year. This is in preparation for changing the dates for provisional tax payments starting 1 April 2008, so businesses can pay income tax and GST at the same time. Some small businesses will be able to avoid paying Use of Money Interest. We will cover this in more detail in future emails.
Tax Tip Two
Change to GST Payment Dates
From the 1 st April 2007 (yes – next month), your GST will become due for payment by the 28 th of the month instead of the end of the month. April is a difficult month for GST because it includes Anzac Day near the end and Easter often falls in April. It is possible that the March GST may be extended to May 7 th , but this is yet to be confirmed. However, the GST period ending 30 November will remain as 15 January.
Tax Tip Three
Do You Own Overseas Shares?
New tax laws apply from 1 st April 2007 to people owning less than 10% of the share capital of overseas companies. If you have a portfolio of overseas shares which cost you more than $50,000 NZD, this change will affect you. The same applies to a very limited number of family trusts, but for companies there is no relief for a low cost portfolio. The new rules are complex and this email is not the place for a full explanation. If you are affected, please contact us to make an appointment so that we can evaluate your situation and calculate the actual tax impact. Unfortunately, we will not be able to offer this as no cost information because of its complexity and the need to calculate tax for each individual client.
Cheers Scott
These are the latest tips from Jamie Tullocks newsletter.
Dear Scott,
Tax Tip One
Aligning GST and Provisional Tax
From 1 st April 2007 (yes – next month), GST return dates will be progressively aligned with business balance dates as the year proceeds. Businesses that complete returns to 28 February and have a 31 March income tax balance date will have to do a one month GST return, sometime during the year. This is in preparation for changing the dates for provisional tax payments starting 1 April 2008, so businesses can pay income tax and GST at the same time. Some small businesses will be able to avoid paying Use of Money Interest. We will cover this in more detail in future emails.
Tax Tip Two
Change to GST Payment Dates
From the 1 st April 2007 (yes – next month), your GST will become due for payment by the 28 th of the month instead of the end of the month. April is a difficult month for GST because it includes Anzac Day near the end and Easter often falls in April. It is possible that the March GST may be extended to May 7 th , but this is yet to be confirmed. However, the GST period ending 30 November will remain as 15 January.
Tax Tip Three
Do You Own Overseas Shares?
New tax laws apply from 1 st April 2007 to people owning less than 10% of the share capital of overseas companies. If you have a portfolio of overseas shares which cost you more than $50,000 NZD, this change will affect you. The same applies to a very limited number of family trusts, but for companies there is no relief for a low cost portfolio. The new rules are complex and this email is not the place for a full explanation. If you are affected, please contact us to make an appointment so that we can evaluate your situation and calculate the actual tax impact. Unfortunately, we will not be able to offer this as no cost information because of its complexity and the need to calculate tax for each individual client.
Cheers Scott