- The 2019 NZ Tax Roadshow is coming to a town near you in late April and May
- As well as Tax Working Group recommendations, other big changes on the horizon we will be covering include land, disputes and rulings processes and avoidance
- Want to know who’s presenting this year? Meet our Tax Team!
What's in store?
The New Zealand tax landscape is changing rapidly. Short-term changes and developments, such as pay-day filing, Business Transformation release 3 and R&D tax credits, are vying for our attention along-side broader reforms, such as capital gains taxes and other Tax Working Group recommendations and digital taxes. We will have a lot to cover in three hours, but here are some of our highlights.
Land and recent Brightline statements
Speculation has focused on what the government may announce on capital gains taxes and how the TWG recommendation tie in with residential property and farm land. What we do know is that Inland Revenue recently released two QWBAs addressing how the Brightline test applies to subdivided land and lifestyle blocks. We cover two practical examples of when there is or isn't a main home exclusion under either the two-year or five-year Brightline rules. Any members who have clients with lifestyle blocks, hobby farms — or maybe just a bit of land behind their house — won't want to miss this!
Short process rulings for SMEs - Applies from 1 October 2019
Introduced in the Taxation (Annual Rates 2018-19, Modernising Tax Administration, and Remedial Matters) Act 2019, the new short process ruling pathway will make it easier for small businesses to apply for a binding ruling from Inland Revenue from 1 October 2019. CA ANZ made a number of submissions on this area of the Bill and we were pleased to see a number of our recommendations adopted. These included broadening the scope of who can apply, from those with an income of less than $5 million to those on less than $20 million. How to apply, who can apply and the application of the rulings are covered in this year's roadshow.
What not to do: recent tax avoidance cases
The Cullen Group Ltd v CIR decision recently caught media headlines with the High Court ruling in favour of the Commissioner, resulting in a sizable tax bill. While this case is likely to be appealed, the "grey area" between what the Commissioner does and doesn't view as acceptable structuring practices are examined. As well as the Cullen Group case, we look at the use of convertible notes and go through practical dividend- stripping examples.
Meet our team
The four members of the NZ Tax Team specialise in analysing and interpreting new tax rules for our members. They will be in 24 locations around the country in April and May to tell you what policy and legislation has changed, and how it will affect you and your clients.
John Cuthbertson, New Zealand Tax Leader
The latest addition to the CA ANZ Team, John has a background in corporate tax. He joined us from PwC in 2017. John is our expert on property-related questions. As our NZ Tax Leader, John manages our advocacy activities and consultative groups and presents our submissions to government and select committees.
Jolayne has a strong interest in tax policy design and its impact for all New Zealanders. She builds and solidifies our strong relationship with Inland Revenue Policy and Strategy. As well as working on our policy and legislative submissions, Jolayne has helped to plan our annual tax conference.
Lindsay works in a range of areas, covering most of the statements released by IR's Office of the Chief Tax Counsel, and provides comment on draft rulings and standard practice statements. Recently, Lindsay completed a lot of work on the tax treatment of charities. She often presents tax update sessions to the CA ANZ Women's special interest group and works closely with our National Tax Liaison Group.
Teri specialises in the practical. Before joining CA ANZ, she worked on the CCH Questions & Answers. She can tell you about anything to do with the calculation of tax and return filing. Our in-house research guru, Teri has been delving into the recent developments in multinational and cross-border taxation.