Goods & Services Tax (GST)
GST returns and payments are due every month, every 2 months or every six months depending on the level of turnover in the business, and the needs of the business.
We offer a complete GST service, which is really good value. It not only means you will always have your GST return correct and filed on time, but also it will make your end of year financial reporting much quicker and easier to complete.Call Sharon for a quote on preparing the GST returns for your business.
Inland Revenue impose penalties and interest charges for late returns and payments.
GST returns can be filed online or via a paper return.
Payments can be made by sending a cheque to the IRD at P O Box 1535, Hamilton 3240, at any Westpac Bank or by paying via online banking.
Changes to GST from the 2010 Budget:
As you will be aware, the Government’s budget announcement in May confirmed that the rate of GST will rise from 12.5% to 15% from 1 October 2010.
As a business owner we realise you are busy and your time is precious. So to help you, we’ve compiled the below list to assist you in thinking about implementing the GST rate change in your business. It’s part of our commitment to helping your business succeed.
Some key areas for you to consider include:
Systems
·You may need to see whether the rate of GST can be changed in your system and
at point of sale? Your IT provider should be able to assist.
·What will the impact of changing the rate of GST part way through a financial year
have on data entered before the change? Your accountant should be able to help.
Financials
·Do you need to recalculate your cash flow forecasts?
·Will the GST rate increase have an impact on your budget?
Payments
·Does your GST return cross the date of implementation (1 October 2010)?
·Do you need to prepare and file a GST return that contains two parts, one under
the old rate and one under the new? The Inland Revenue (IRD) or your
accountant should be able to assist.
·Invoices outstanding at 30 September may need to be cancelled and re-sissued at
the new rate if you are under the ‘payments’ option for your GST returns.
Creditors
·You may need to check invoices and credit notes to ensure the correct GST rate
has been applied?
Contracts
·What impact does an increase in GST have on existing customers? For example,
are your long term contracts on a GST exclusive or inclusive basis? You lawyer
should be able to advise you.
Customers and Pricing
·Can the business absorb the GST rate increase, or will you need to increase your
prices?
·How will you inform your customers of any likely increase in prices?
Capacity
·What will the likely impact be on demand for your products and/or services prior
to and after 1 October?
·How will you update prices, including marketing material and website information?
The Government is in the process of setting up a private sector GST Advisory Panel to help businesses implement the GST rate increase, including a dedicated website and 0800 number, so look out for this. In the meantime if you are wanting to find out more you can visit taxpolicy.ird.govt.nz
GST returns and payments are due every month, every 2 months or every six months depending on the level of turnover in the business, and the needs of the business.
We offer a complete GST service, which is really good value. It not only means you will always have your GST return correct and filed on time, but also it will make your end of year financial reporting much quicker and easier to complete.Call Sharon for a quote on preparing the GST returns for your business.
Inland Revenue impose penalties and interest charges for late returns and payments.
GST returns can be filed online or via a paper return.
Payments can be made by sending a cheque to the IRD at P O Box 1535, Hamilton 3240, at any Westpac Bank or by paying via online banking.
Changes to GST from the 2010 Budget:
As you will be aware, the Government’s budget announcement in May confirmed that the rate of GST will rise from 12.5% to 15% from 1 October 2010.
As a business owner we realise you are busy and your time is precious. So to help you, we’ve compiled the below list to assist you in thinking about implementing the GST rate change in your business. It’s part of our commitment to helping your business succeed.
Some key areas for you to consider include:
Systems
·You may need to see whether the rate of GST can be changed in your system and
at point of sale? Your IT provider should be able to assist.
·What will the impact of changing the rate of GST part way through a financial year
have on data entered before the change? Your accountant should be able to help.
Financials
·Do you need to recalculate your cash flow forecasts?
·Will the GST rate increase have an impact on your budget?
Payments
·Does your GST return cross the date of implementation (1 October 2010)?
·Do you need to prepare and file a GST return that contains two parts, one under
the old rate and one under the new? The Inland Revenue (IRD) or your
accountant should be able to assist.
·Invoices outstanding at 30 September may need to be cancelled and re-sissued at
the new rate if you are under the ‘payments’ option for your GST returns.
Creditors
·You may need to check invoices and credit notes to ensure the correct GST rate
has been applied?
Contracts
·What impact does an increase in GST have on existing customers? For example,
are your long term contracts on a GST exclusive or inclusive basis? You lawyer
should be able to advise you.
Customers and Pricing
·Can the business absorb the GST rate increase, or will you need to increase your
prices?
·How will you inform your customers of any likely increase in prices?
Capacity
·What will the likely impact be on demand for your products and/or services prior
to and after 1 October?
·How will you update prices, including marketing material and website information?
The Government is in the process of setting up a private sector GST Advisory Panel to help businesses implement the GST rate increase, including a dedicated website and 0800 number, so look out for this. In the meantime if you are wanting to find out more you can visit taxpolicy.ird.govt.nz
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