The end of another tax year is nearly upon us, leading to the annual rush by accountants to complete and file income tax returns before 31 March for our clients. To complicate matters this year, Inland Revenue (IRD) have just upgraded their software for processing GST returns. For taxpayers using myIR access to process their GST returns, there is now a MY GST section under their login that will be used to process GST returns and pay amounts owed. Any GST refunds now require a bank account number to be recorded as the refunds will be direct credited to the taxpayer.
Rural clients need to be aware that IRD is now considering submissions on their consultation document over the deductibility of farmhouse expenses (which will also impact on orchardists). On larger farms, it will generally be business as usual except that deductions on farmhouse expenses will be at a new flat rate of 15% rather than the previous 25%. For smaller farms, where the cost of the farmhouse is less than 20% of the total value of the farm, deductions for farmhouse expenses will only be able to be made based on a home office area calculation. The proposed changes will apply for the 2018 tax year.
On a more personal note, Katikati Chartered Accountants Limited (KCA) has nearly completed their first year of trading following the purchase of Bruce Warden’s practice. KCA is owned by locals Geoff Okey and Diane Fox who would like to thank all of our clients and our wonderful staff for their support over the last year. KCA ia able to provide advice not only on the accounting and tax requirements facing businesses, but also on the operational challenges many business owners face today.
Servicing the Bay of Plenty, new clients looking for a friendly accountant that emphasises client service should come and visit Geoff for a free consultation.
Address: 12 Jocelyn Street, Katikati Phone : 07 549 0772 Website WWW.katikatica.co.nz