The IRD have recently sent out their February Tax update.  Listed below is what you’ll find in this month’s newsletter.

• No cheques from March onwards – The IRD will stop accepting payments by cheque dated after 1st March 2020. There are several alternative payment methods including online through the bank, online in myIR and cash or Eftpos at Westpac.
• From April the IRD will manage income equalization schemes in their new system.
• The IRD are building a new tax technical website to help people find tax technical answers more quickly. The first release is planned to be available in the next few months.    
• Prescribed investor rate decrease – The prescribed rate used to calculate fringe benefit tax on low-interest, employment related loans has decreased from 5.77% effective 1 October 2019. The IRD website has been updated.
• IRD Webinars – The IRD are continuing their webinar series to provide information on upcoming tax changes. The next webinar is on the 19th February, covering changes related to KiwiSaver and Student loans.  The session will run from 2.30pm to 3.30pm. 
• Employer-provided travel from home to a distant workplace – new operational statement OS 19/05 clarifies and simplifies the tax rules around this.

Please take time to read the full newsletter here.

If you have any questions regarding information in this article, please call us on 09 636 3332.