The entitlement to a redundancy tax credit was due to expire on March 31, 2011 but it has been extended to September 30. 2011. If an employee is made redundant they are entitled to receive the redundancy tax credit of 6% for the first $60,000. ( i.e a maximum of $3,600.) To claim the rebate […]
Category: Compliance
Earthquake Tax Changes
After the September and March earthquakes some companies paid their employees an ex gratia payment to help them over this unsettling period. Originally, the IRD deemed the payments were taxable but tax changes have been introduced to respectively fix this. This applies to any payments made within 8 weeks of either earthquakes ( some conditions do apply) […]
Minimum Wage Increases 01 April 2011
The Minister of Labour has annouced increases to the minimum wage rates. From 01 April the adult minimum will increase to $13.00 per hour. The new entrants and the training rate increases to $10.40 per hour. For more info go to the Depatment of labour website : http://www.ers.dol.govt.nz/
Changes to Employment Relations and Holidays Acts
The Government has passed amendments to the Employment Relations and Holidays Act. Most of the changes won’t take affect until April 2011 but some take affect immediately. Read a summary of the changes HERE!
Tax Changes from October 1st
The IRD have set up a special page on their Website covering all the tax changes that are occurring on October 1st. These include: Personal Tax Changes GST Increase to 15% Working for Families Tax Credits Employers FBT and ECST rates Depreciation changes ACC Earner Levy increase (due to GST) Proposed changes for April 1st […]
Staff have received a Tax Bill, why?
Why do I get a tax bill each year? The calculation of tax is not a straight forward exercise that most assume. It is based on multiple rates and multiple thresholds. Hopefully this will help to explain why some people end up with a tax bill and some with a tax refund.
Tax Refunds – How to Check
Are you entitled to a tax refund? You can work it out yourself for free by using the calculators provided by the IRD.
Tax Changes due October 1st, 2010
The following changes to personal tax come into effect on your first pay, physically paid, after October 1st, 2010 For Income up to $14,000 the rate reduces from 12.5% to 10.5% For Income up to $48,000 the rate reduces from 21.0% to 17.5% For Income up to $70,000 the rate reduces from 33% to 30% […]
Minimum Wage Increase
Minimum Wage Increase Minimum Wage – From 1st April 2009 There are three groups to calculate minimum wages for. These are the ‘Adult Minimum Wage’, ‘New Entrant’s Minimum Wage’ and ‘Training Minimum Wage’. Adult Minimum Wage This applies to all workers who are 16 years old and over who are not new entrants or trainees. […]
Student Loans – 10% bonus
Early repayments of $500 or more in any tax year off a student loan will earn a 10% bonus. In some cases it may be worth accepting the offer. However, don’t overlook the time value of the money.