It is being proposed that beginning with the 2021/22 financial year (typically for the year ending 31 March 2022), all trusts will need to file financial statements that include a profit and loss statement and balance sheet (as per the Taxation (Income Tax Rate and Other Amendments) Bill. There will also be additional information requirements for trusts, including Associated Person transactions and relevant transfer, loan and distribution details and, as well as reconciliations of profit to taxable income and reconciliations of movements in beneficiary accounts, including loans. Already under existing law, foreign trusts with a New Zealand resident trustee are required to comply with these rules as well as having to provide names of settlors and details of settlements and movements in settlors accounts, for prior years. Please contact us if you are unsure how these bill amendments apply to you and your trust.

IRD have made changes in the myIR secure online portal to improve management of child support payments. You can now make changes to your circumstances in myIR, as well as register for child support and submit review applications and objections. Payments can also be passed on quicker, by the 23rd of each month, where the liable parent has paid on time.

IRD ScamsScammers posing as the IRD are just as active as ever! Never give your credit card or bank account details to someone over the phone claiming to be the IRD, or in an email. IRD will only ever ask that this type of confidential information is provided securely through your myIR account.

If your business currently pays GST 6-monthly, you can now choose to file on a monthly basis. Because of the impacts of Covid-19, choosing to file GST monthly will provide earlier access to any GST refunds. This change will be effective from the start of your taxable period.

A reminder that if you are self employed and have received the Covid-19 wage subsidy, then this must be included as income in your IR3/IR3NR tax return.

IRD has put together a guide for employers to help with completing common tasks in the myIR portal, including filing or amending employment information and common error messages.