SBCS Interest Charges Kick In

It has now been two years since the Small Business Cashflow Scheme (SBCS) was introduced, signalling the end of the interest-free period for those initial loans. The scheme was introduced in May 2020 to support small to medium businesses and organisations struggling with revenue loss due to the Covid pandemic. The loans were provided interest-free

2022-05-02T10:18:23+12:00May 3rd, 2022|COVID-19|

Taxing Matters: November 2021

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

2021-11-03T08:53:26+12:00October 29th, 2021|COVID-19, Tax|

Wage Subsidy Scheme August 2021

The Government's Covid-19 Wage Subsidy Scheme is available for New Zealand businesses impacted by the lockdown that took effect from midnight 17th August 2021, to help eligible businesses to keep paying staff and protect jobs. Eligible employers can apply for support if they expect a loss of 40% of revenue as a result of the

2021-08-18T09:16:41+12:00August 18th, 2021|COVID-19|

Covid-19 Wage Subsidy March 2021

The Covid-19 Wage Subsidy March 2021 is now open for applications. This latest version of the wage subsidy is a payment to support employers in paying staff and protecting jobs in businesses which have been affected by the increased Alert Levels on 28th February 2021. Employers can apply to cover their employees' wages over a

2021-03-05T09:53:48+12:00March 5th, 2021|COVID-19|

Covid-19 Resurgence Support Payment

Applications for the government’s Covid-19 Resurgence Support Payment (RSP) opened on 23rd February 2021. The RSP has been created for viable and ongoing businesses or organisations experiencing reduced revenue due to a Covid-19 alert level increase to Alert Level 2 or higher. It can help businesses to cover expenses like wages and fixed costs. Eligible

2021-02-22T13:51:59+12:00February 22nd, 2021|COVID-19|

Covid-19 Short Term Absence Payment

A short-term absence payment is available at all Covid-19 Alert Levels for employers to pay staff who follow public health guidelines and stay at home while waiting for the results of a Covid-19 test. In order to be eligible for the absence payment, staff must miss at least one shift of work and be unable

2021-02-19T12:23:34+12:00February 19th, 2021|COVID-19|

SBCS New Eligibility Criteria

New eligibility criteria for the Small Business Cashflow Scheme (SBCS) has come into effect. With the aim of making the scheme available to more businesses, the SBCS new eligibility criteria includes: The inclusion of new businesses established after 1st April 2020 which have been operating for six months. A change to the requirement that businesses

2021-02-17T09:06:11+12:00February 17th, 2021|COVID-19|

IRD Begins Wage Subsidy Audits

The government’s three wage subsidy support packages (Wage Subsidy, Wage Subsidy Extension and Resurgence Wage Subsidy) are now all officially closed for application. Altogether over $13 billion was paid out to 750,000 applications, one-third of which were to self-employed individuals. Although they may have been developed in haste and short on initial detail, there’s no

2020-10-30T14:13:53+12:00October 30th, 2020|COVID-19|

How Has COVID-19 Affected Business Values?

While as individuals COVID-19 has challenged many of us physically, mentally, financially and spiritually, for business owners the challenge of merely staying in business continues to be an ongoing battle. The impact on the travel and hospitality industries has been particularly devastating, and the overwhelming majority of businesses have had to evolve at least to

2020-11-11T08:18:15+12:00October 28th, 2020|Business Valuations, Cash Flow, COVID-19|

More Peace Of Mind About Small Business Cash Flow Scheme

The IRD wants to provide greater peace of mind to businesses taking advantage of the Small Business Cash Flow Scheme (SBCS). According to a recent update, the IRD will automatically give prior notification to SBCS borrowers of key events such as: When interest will begin if the loan is not repaid in full within the

2020-09-24T14:14:24+12:00September 24th, 2020|COVID-19|

Business Finance Guarantee Scheme More User-Friendly

Changes have been made to the Government’s Business Finance Guarantee Scheme to make it much more user-friendly for businesses. Finance Minister Grant Robertson has admitted that the uptake on the original scheme was much lower than expected, with $150 million lent to 780 customers as at 20th August. This has prompted an expansion and simplification

2020-09-23T14:03:43+12:00September 23rd, 2020|Business Resources, COVID-19|

Restructuring And Staff Redundancies

As the COVID-19 pandemic continues to put pressure on the economy, some of our clients are considering options such as restructuring and/or making staff redundant in order to stay afloat. As an employer, if you are in this difficult situation there are proper processes you are obligated to follow. Restructuring is the process of changing

2020-09-16T14:05:59+12:00September 16th, 2020|Business Resources, COVID-19|

Resurgence Wage Subsidy

New Zealand businesses, including self-employed people, can apply for a 2-week 'Resurgence Wage Subsidy' from 21st August until 3rd September 2020. Part of the eligibility criteria is that employers must have had, or expect to have, a minimum 40% drop in revenue due to the COVID-19 pandemic for a 14 day period between 12th August

2020-08-21T11:40:26+12:00August 21st, 2020|COVID-19|

Wage Subsidy Extension

Is your business still being significantly impacted by COVID-19? Applications for the wage subsidy extension remain open until 1st September 2020. However, there are some conditions you should be aware of before applying. If you applied for the original 12-week wage subsidy then you must wait 12 calendar weeks from the date of receiving that

2020-07-15T11:15:13+12:00July 15th, 2020|COVID-19|

COVID-19 Relief Packages For Farmers

We look at two options for COVID-19 relief packages for farmers who have been affected by the crisis.  Wage Subsidy Extension One of the options for COVID-19 relief packages for farmers is the wage subsidy extension, created to support employers who continue to be significantly impacted by the COVID-19 crisis. Applications will open on 10th

2020-06-04T09:54:56+12:00June 4th, 2020|COVID-19, Farm Accounting|

Working From Home Determination

The IRD has issued a determination (EE002) for employers who are paying employees working from home costs during the COVID-19 crisis. It provides that employers can pay employees who are working from home up to $20 per week tax-free for expenses (for example additional heating costs) without needing to estimate or demonstrate the employee’s actual

2021-07-12T13:11:21+12:00May 20th, 2020|COVID-19|

COVID-19 Implications On GST

COVID-19 is having a serious impact on New Zealand businesses in many ways. These include potential GST implications if supplies have been cancelled or there is a change in the use of an asset. GST On Cancelled Supplies If GST is returned on a supply that is subsequently cancelled, a GST adjustment will be required

2021-05-17T13:46:33+12:00May 14th, 2020|COVID-19, Tax|

The COVID-19 Small Business Cashflow Scheme

Small- to medium-sized businesses may now be eligible for a one-off interest-free loan if they have been adversely affected by COVID-19. This includes sole traders, self-employed and any business with up to 50 employees. The Small Business Cashflow Scheme (SBCS) will provide $10,000 to each eligible business, and this amount could be extended up to

2020-05-04T14:47:28+12:00May 4th, 2020|COVID-19|

Tax Loss Carry Backs

There are proposed new temporary rules for tax loss carry backs under the COVID-19 crisis. If you believe that your business is forecast to make a loss in the 2019/20 financial year, we can assist you in making application to carry that estimated tax loss back to the 2018/19 financial year to lower that tax

2020-04-23T11:34:47+12:00April 23rd, 2020|COVID-19|

COVID-19 Company And Other Entity Law Changes

6.4.2020 Amendments to the Companies Act 1993 and legislation affecting other entities have been proposed to help entities affected by COVID-19 to stay afloat. The proposed changes include the following: Directors, trustees and partners who continue trading will have a “safe harbour” from potential insolvency breaches if they consider, while acting in good faith, that

2021-05-17T13:43:32+12:00April 7th, 2020|COVID-19|

Financial Support For Homeowners And Businesses

26.03.2020 There is good news of financial support for homeowners and businesses. It has been announced that the government, retail banks and the Reserve Bank have developed a financial support package to help homeowners and businesses affected by the economic impacts of COVID-19. The package includes: A 6-month interest and principal holiday for mortgage holders

2021-05-13T13:21:50+12:00March 27th, 2020|COVID-19|

New Zealand Business Numbers (NZBN)

25.03.2020 In order to apply for the COVID-19 wage subsidy, you need to have a New Zealand Business Number (NZBN). Your NZBN is a globally unique 13-digit number. If you are a registered New Zealand business then you will already have a NZBN. To find out what this is, go to and enter your

2021-05-13T13:17:55+12:00March 26th, 2020|COVID-19|

COVID-19 Tax Relief

30.03.2020 It has been proposed that Inland Revenue have the ability to remit use of money interest (UOMI) for businesses or individuals who are unable to make their tax payments on time due to COVID-19. This would apply to payments due on and after 14th February 2020, and the length of time it applies for

2021-05-13T13:03:44+12:00March 26th, 2020|COVID-19|