New Zealand today removed two types of taxes to support local businesses to achieve more productive, sustainable and inclusive development in the country.
https://www.aleqtisady.com/ New Zealand govt removes two types of taxes for cups to boost economic development As part of the government’s economic plan, Finance Minister Grant Robertson and Small Business and Revenue Minister Stuart Nash announced on Monday the removal of two barriers to expansion faced by companies.
aleqtisady.com “At present, the costs associated with exploring whether you want to invest in new assets or business models are often not deductible for tax purposes,” Robertson said. “Business owners tell us that this can deter them from spending money on finding the best way. To do things. ”
aleqtisady.com“We are changing this so that companies can deduct ‘feasibility expenses’ from their tax bills, including projects that are not going forward,” Robertson added.
The measure will be included in the tax bill, which will be submitted to parliament early next year, meaning the change could start from the beginning of the next tax year.
The second proposal, announced today, will change New Zealand’s “loss continuity rules” to make it easier for startups to attract investment and get started.
aleqtisady.com Hence, under the current rules, a company suffering a year-long loss can use this loss to minimize its taxable income in the future, but the rules do not work well for startups trying to attract new investments.
aleqtisady.com The changes announced on Monday as part of the government’s economic plan will be based on initiatives already announced.