It's early days with the “new” government but they have promised to:
Extend the Small Business Loan scheme for another 3 years. If you remember or have used the scheme – it is administered by the IRD and entitles a business to a loan of $10,000 plus an additional $1800 per full-time employee. The loan is interest-free if it is paid back within a year, and 3 per cent a year every year after that. They plan to extend the interest-free period to 2 years. Contact Paul if you need more information on this.
Increase the top income tax rate
A new rate of 39% will apply to any income earned above $180,000. This new rate is based on individual income. For those of you who are affected by this change – now is the time to look at re-structuring your business ownership. Call Paul to discuss your options.
Government funding for tailored business advice – this will probably be available through the Regional Business Partners Network of which we are a member. We will let you know when becomes available.
Cap the fees for paywave and to create a $2,500 Digital Training Voucher to help pay for digital training. They want to support the use of digital commerce like e-invoicing and other innovative processes. Contact Raymond for advice.
Mitigate compliance costs to support the ease of doing business. As details emerge we will advise you
Overhaul the Accounting Income Method (AIM) tax regime to make it easier for businesses to move to a 'pay tax as you earn' model throughout the year. Contact us for help on this.
Continue the business tax write off for new assets? The write off of low-value assets has been increased from $500 to $5000 until 16 March 2021. Contact Manoj, Rachael or Charlie about this.