Industry Advice on Finance, Business & Tax for the New Zealand Market

The Government's 2024 budget focuses on building a more productive economy, delivering efficient public services and restoring fiscal discipline.

Ring-fencing of rental losses refers to new tax regulations that prevent investors from offsetting residential property losses against their other income, such as salaries or business earnings. Instead, if rental deductions exceed income, these losses will be carried forward to offset future residential property income until fully utilised. This article explores the implications of these changes for property investors and offers insights into effective financial strategies in light of this legislation.

The current economic environment presents challenges for individuals and businesses, impacted by the COVID-19 pandemic and rising living costs. Despite this, many are still looking to innovate and upgrade technology and vehicles. Key questions include whether to buy or rent and how to fund these purchases. This article explores these leasing options and provides insights into making informed financial decisions.

We examine the intricacies of entertainment expenses and fringe benefit tax (FBT) in New Zealand, highlighting key considerations for businesses. It clarifies what qualifies as taxable benefits, offers practical tips for managing FBT obligations, and explores strategies to maximise tax deductions. Understanding these elements is essential for businesses aiming to optimise their tax position while ensuring compliance with relevant regulations.

Navigating the complexities of estate planning can be as challenging as a bobsledder's training run, with unexpected twists that could lead to difficulties. In the second part of this series, we delve into the intricacies of ensuring a fair and equitable distribution of assets to beneficiaries after a loved one's passing.

While we often hear that death and taxes are certainties in life, the lack of clear guidance on managing the complexities that arise after a loved one's passing is striking. This article sheds light on the often-overlooked aspects of estate planning and the importance of proactive preparation, helping to ease the burden for those left behind.

In line with the recent changes made to the Trust Act (2019) that came into force on 30 January 2021, the Inland Revenue Department has now published their operational statement (22/02) that sets out the reporting requirements for domestic trusts.

As most of us begin a new financial year (those with 31st March balance dates), we typically would also look to review our budgets or cashflow forecasts for the year ahead and set some new targets. We might even reset our strategic direction, and better yet, we would align our strategic direction and our cashflow forecast to ensure that the two are in unison.

We look at the Government's draft legislative proposals with respect to limiting the deductibility of interest expense for residential property investments and a number of changes to the bright-line rules.

Selecting the right KPIs for your business is an important part of achieving your strategic goals. However, with the masses of data available to businesses in the digital age, it can be difficult to know which KPIs will deliver the most value.

The role of the chief financial officer (CFO) has evolved with modern business requirements. Could you now benefit from their increased skillset? Here’s what the new, modern CFO can offer your business:

Is your chief financial officer (CFO) up to standard? Are they achieving, or are they lagging behind? These are the five signs that it’s time to rethink the CFO role in your business.