Baucher Consulting Limited, tax specialists, have recently sent out some very good end of year tax tips that we believe you should take a look at before 31st March:-
- Review your debtors and ensure any bad debts are written off by 31st March to ensure you can get a bad debt deduction this year.
- Any elections to join the look-through company regime must be filed by 31 March in order for the election to take effect from 1 April. Miss this deadline and you’ll have to wait another year.
- All companies should ensure their imputation credit account is in credit at 31 March to avoid 10% imputation penalty tax on any debit balance.
- Carry out a thorough stock check and either dispose of obsolete and slow-moving stock or value it at market selling value.
- Ensure all shareholder current accounts are in credit or consider either charging interest or paying a dividend to clear any overdrawn balances.
- Review your fixed assets and if any assets are no longer in use look to sell or scrap these before year to claim a deduction.
- Finally remember to file your tax return by 31st March so that you don’t give Inland Revenue the opportunity of extending the “time bar” beyond the usual time limit of four years after the end of the tax year in which the tax return was filed.
If you have any questions regarding this information, please contact us on 09 636 3332
