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Law change: Tax and Contractors

*Law change: Tax and Contractors* *If you are a contractor already under schedular payment rules:* You must complete the new tax rate notification form (IR330C) when you start any new job on or after 1 April 2017. Tax rate notification for contractors form . On this form, you pick...

Paying Contractors

Paying Contractors  *You need to follow the following steps when paying contractors:* Check your accounting software includes the option to choose variable tax rates. Brief your payroll team as the contractor will need to be included on the employer monthly schedule (EMS). ...

Cashflow is not profit – and vice versa

Cashflow is not profit – and vice versa The purpose of a business is to make money, and that means you have to know the difference between profit and cashflow. *Net profit *is what you have left after you deduct all your business expenses from...

Fairer tax rules affect cashflow

Fairer tax rules affect cashflow A tax bill passed in May made changes that affect cashflow. *Companies get more choice with RWT* From 2017-18, companies can choose to not deduct resident withholding tax on a fully imputed dividend paid to a corporate shareholder. A fully imputed...

IRD AIMs to please – next year

IRD AIMs to please – next year  A key principle of the tax system is taxpayers should pay tax as income is earned. That doesn’t work well for businesses with seasonal or volatile incomes, and is why the Government announced, early this year, a new...

Several ways taxpayers can get caught out

Several ways taxpayers can get caught out Taxpayers who earn income from various sources may get caught short if they don’t plan ahead. This could come about in various ways: Airbnb Overseas investment Shares in an overseas company *Airbnb income* If you rent rooms or...

R&D tax credit changes can boost cashflow

R&D tax credit changes can boost cashflow Changed Research and development (R&D) tax credit rules, which came into effect at the start of the 2016 income year, can help business cashflow. The R&D Tax Credit regime allows a “cash out” of an organisation’s R&D tax losses....

Business health check

Business health check Get a clear cashflow picture before third quarter. Cashflow forecasting is important because if your business runs out of cash it won’t be able to operate. You now have one clear month before the third quarter to get the best possible clarity...

Contractors get more tax choice

Contractors get more tax choice The way contractors pay tax changed on 1 April, giving greater choice, and making it easier to get tax right. The rules around schedular payments have changed to allow this, and are compulsory for all contractors hired by a recruiter —...

Things to do this month:

*Things to do this month:* Are your records for rental income and expenses together for us to do your tax? Can you please provide this information to us by 30th October 2017. One way of doing that is to get your hands on a...