tag:blogger.com,1999:blog-92170092057134886562012-01-30T11:35:09.326+13:00Vaughan Walshnoreply@blogger.comBlogger261100tag:blogger.com,1999:blog-9217009205713488656.post-4208028155432279832011-05-20T09:37:00.000+12:002011-05-20T09:37:28.844+12:00

The introduction of the LTC regime at the expense of LAQCs was sneaky enough being put through on the 20 December 2010, but what about the GST changes that came through at the same time? In many instances, they have largely gone unreported on. However, we have noted some of the changes in terms of the impact they may have on our clients. Land Determining Zero Rating New legislation deems that

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-73432123025546002502011-02-04T14:50:00.000+13:002011-02-04T14:50:30.627+13:00

Last week we looked at the options to carry losses forward and in particular we focussed on LTCs and what defined effective an owner's interest. This week, we will continue our look at LTC's looking at the eligibility criteria, ownership rules, classes of shares and the tax status to become a look through Company. Eligibility Criteria For a company to be able to be a LTC, it must have the

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-36975354903365289342011-01-28T11:34:00.003+13:002011-05-20T11:03:46.249+12:00

We would like to announce that Walsh & Associates now has a sister company called Busy Bee Admin Limited (BBA). BBA was set up to provide help and support for businesses saving you time and money so you can do the things you do best. All BBA support staff have experience and knowledge in all accounting software such as Xero, MYOB, QuickBooks and Bank Link. BBA provide affordable and cost

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-34640829568202725182011-01-28T11:33:00.000+13:002011-01-28T11:33:46.384+13:00

Happy New Year from us all at Walsh & Associates, and we hope that each and every one of you has a prosperous and rewarding 2011 year. We are excited by the year ahead; there will be lots of changes for us as a practice and challenges to all our wider business networks. Of significance is the tax changes planned last year that take effect from the 1 April 2011. The Demise of the LAQC Company

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-71901235801568223722010-09-22T22:05:00.000+12:002010-09-22T22:05:44.113+12:00

We pride ourselves on offering our clients with the best solutions available - one size does not fit every option. With the introduction of "cloud" based accounting this solution has become easier through the use of products such as Xero. Xero is the leader in this industry with it's fully automated and secure bank feeds. Ask the founder of MYOB, who now sits on Xero's board! Plain Talk,

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-56431214193957380322010-09-14T15:13:00.000+12:002010-09-14T15:13:43.029+12:00

Had a really interesting session at the Business Expo last week and it is obvious that there are still a number of questions and concerns surrounding the impending GST increase on 1st October 2010. Nearer the end of September, we will release a newsletter with an update and a refresher on all the issues that we have raised this month. At Walsh and Associates we look after our clients and

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-53720821675106535882010-09-14T15:11:00.002+12:002010-09-14T15:11:55.688+12:00

This week we look at a recent Government change to the GST legislation, a challenge to two of the issues raised last week plus some more transactions and how GST changes will affect those transactions. Government Change During the week the Government relaxed its stand to transactions, which were completed in September but not invoiced till October. The original intention was that all invoices

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-19237918852138407742010-09-14T15:01:00.000+12:002010-09-14T15:01:35.363+12:00

The Winner of the Guess the Lollies - Three months Xero subscription - FREE!! - Two hours of our time - convert your existing accounting package Was won by Edwin Brown of Napier.

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-78680906492329568182010-09-01T15:14:00.002+12:002010-09-01T15:14:45.946+12:00

Have you updated your existing accounting package? Was there a cost? Xero has already commenced the process of the GST updates and the cost to you if you were a client is NIL. If you haven’t updated your software and you are still thinking about it, we would strongly recommend that you consider Xero. Contact Sarah today 833 6295.

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-63754311242297521352010-09-01T15:11:00.001+12:002010-09-01T15:11:49.264+12:00

This week we will address the following issues … Work done in September, invoiced in October Question Lets assume that you have done work in September and through month end cut off etc, the invoices aren’t raised until Monday the 5th October, should these invoices be invoiced at 12.5% or invoiced at 15.0%. Answer All invoices issued on or after 1 October 2010, must be issued at 15.0%. The

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-10816076517469558162010-08-25T12:02:00.001+12:002010-08-25T12:03:37.828+12:00

(Published in Business on 25 August 2010 by Tony Rule) There are lots of exciting new online applications being developed to help small businesses. This is a continuation of the ‘best of breed’ model where small businesses are given access to very sophisticated but easy to use business applications. They get to choose a tailored range of online solutions to fit their needs, rather than having to

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-892687156991481142010-08-24T15:26:00.000+12:002010-08-24T15:26:21.510+12:00

The Hawke's Bay Chamber of Commerce is proud to host the largest event for business in Hawke’s Bay featuring leading international business brands through to local service providers. Check out the latest business products and services, get information to manage your business better, improve productivity, increase profitability, and network with thousands of other business owners. Join the

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-26594903283281287462010-08-24T09:58:00.003+12:002010-08-24T09:58:52.721+12:00

Have you updated your existing accounting package? Was there a cost? Xero has already commenced the process of the GST updates and the cost to you if you were a client is NIL. If you haven’t updated your software and you are still thinking about it, we would strongly recommend that you consider Xero. Contact Sarah today 833 6295.

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-77219939081219405932010-08-24T09:58:00.000+12:002010-08-24T09:58:08.479+12:00

The countdown is on for the GST increase and the PAYE decrease for 1 October 2010, and we hope you have given some thought as to how these GST changes will impact upon you and your business. At Walsh & Associates, it is our intention to keep you informed on a weekly basis on a range of transactions and how they will effect you between now and 1 October 2010. GST From the 1 October 2010, GST

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-84080860456662192252010-08-12T15:43:00.000+12:002010-08-12T15:43:09.152+12:00

How many times over recent years have we seen businesses fail rather than succeed, in these times knowing what a business should not do is just as important as knowing what the business should be doing. Businesses that fail often exhibit the following 7 characteristics: 1. Poor financing structures Borrowed too much money, too much reliance on and overdraft facility as opposed to a term loan.

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-5493146072999570122010-08-12T15:41:00.001+12:002010-08-13T13:00:20.939+12:00

The juggling of company income between shareholders and companies to take advantage of the lower company tax rates is going to be a reasonably common occurrence for the 2010 and 2011 tax years. However, the IRD has enshrined into legislation (Income Tax Act Section BG) that any scheme that has as its principal purpose the avoidance of tax may be tax avoidance. Past behaviour, the viability of

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-34916691846355384912010-08-12T15:38:00.000+12:002010-08-12T15:38:45.145+12:00

So the next hurdle we need to start thinking about is the GST increase from 12.5% to 15.0% on 1 October 2010. When GST increased from 10.0% to 12.5% in 1989, the market picked up heaps of momentum pre the increase but once the increase was through the market died again and so as to try and insulate ourselves against the dip as much as possible, one thought we had was do we want to hold the GST

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-56221438134467370672010-07-22T14:45:00.001+12:002010-07-22T14:48:06.037+12:00

Don't forget! 1st Provisional Tax payment is due on 28 August 2010. Check out our Tax Calendar now!!

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-46601076276625372652010-06-08T09:55:00.001+12:002010-06-08T10:02:24.456+12:00

At the time the 2010 Budget announced, we highlighted that there were still some issues to work through in relation as to how the IRD saw the changes to Loss Adjusted Qualifying Companies (LAQCs) and Qualifying Companies (QCs).Some of that detail has now been made clearer and we would advise that as from the 1 April 2011, the following changes will apply :1. Existing LAQC’s and QC’s will become a

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-65293176032389591932010-05-21T11:25:00.004+12:002010-05-21T15:04:38.761+12:00

From the 1 April 2011, the value of assets held in Trusts will be countered as part of the household’s income when calculating the Working for Families. Investment losses and PIE income may also be included. In terms of what the Working for Families is about, this adjustment is fair as it places a more accurate entitlement to the assistance.

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-28374395090378138062010-05-21T11:24:00.004+12:002010-05-21T11:30:04.999+12:00

The comment made in the budget was “Many investors hold property through LAQCs. After a short period of consultation, legislation will be proposed so that from 1 April 2011 all LAQCs will be taxed as limited partnerships”Prior to the Budget there was some speculation, that LAQCs would be dropped and that property losses would be ring – fenced in the vehicle making the investment. Although the

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-44550227793114864982010-05-21T11:23:00.003+12:002010-05-21T11:30:43.679+12:00

Depreciation deductions will no longer be allowed for buildings with an estimated useful life of over 50 years or more. This applies directly to rental houses and the commercial sector. From a conceptual view, this is one scenario that is hard to agree with, as we all know that properties that are tenanted do depreciate, while the land they sit on appreciates.What we may see coming out of this,

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-32150521390745433622010-05-21T11:22:00.004+12:002010-05-21T11:28:35.047+12:00

From the 1 April 2011, the Company tax rate will reduce from 30 cents down to 28 cents. For once, this puts us ahead of Australia, who plan to reduce their Company tax rate to 28 cents but phased in over 3 years commencing from 2012 / 2013. So what does this do for us? A lower company tax rate will encourage productive investment in NZ, thereby increasing productivity, raising wages and creating

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-9451369831216053812010-05-21T11:21:00.013+12:002010-05-21T15:17:08.436+12:00

Tempering the tax reductions will be the fact that GST increases from 12.5% to 15.00%. This increase will take effect also on the 1 October 2010. So with the GST increase and the tax deductions, what does that mean for us, the following table gives a brief overview.

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-64810458231448305552010-05-21T11:17:00.006+12:002010-05-21T15:11:10.246+12:00

As expected, the Budget cut the top and bottom income tax rates for individuals, but delivered larger than expected benefits for middle income earners. Previously, personal tax rates were hinted at falling from 38cents, 33 cents, 21cents and 12.5cents to 33 cents, 19cents and 10 cents. In reality they fell as follows:ncome above $70,000 pre budget 38 cents - 1 October 2010 33 centsIncome from

Vaughan Walshnoreply@blogger.com0tag:blogger.com,1999:blog-9217009205713488656.post-15346904458198551192010-03-02T10:00:00.002+13:002010-05-21T15:11:20.622+12:00

Read this, it makes sense out of all the flowery language our politicians use....People who grizzle about tax breaks for the rich should read this. Tax system explained in beer. Suppose that every day, ten men go out for beer and the bill for all ten comes to $100. If they paid their bill the way we pay our taxes, it would go something like this:The first four men (the poorest) would pay

Vaughan Walshnoreply@blogger.com1