Election 2017 - Party Policy - Tax - Business Tax
27th May 17, 9:09am
by
Business Tax
Click here to return to the policy homepage.
- Cut the company tax rate to 25%.
- Cut the company tax rate by abolishing corporate welfare.
- Read more here and here.
- Exempt electric vehicles and public transport passes provided by employers from fringe benefit tax.
- Supports company tax as an integral component of New Zealand's tax system.
- Read more here.
- Introduce an R&D tax credit at the rate of 12.5%, to lift New Zealand’s lagging R&D expenditure by encouraging businesses to research and innovate.
- Introduce an entirely flexible voluntary withholding tax, to let businesses meet their tax obligations at a rate of their choosing and on their own timetable, rather than the current rigid system of provisional tax.
- Raise the threshold for businesses to pay provisional tax from $2500 to $5000.
- Remove late payment penalties on provisional tax.
- Take strong action to ensure that multi-national companies pay their fair share of tax, including consulting on the introduction of a Diverted Profits Tax.
- Read more here and here.
Not yet available on their website.
- National is working to make tax a normal part of running a business – rather than a separate compliance process.
- Modernising and simplifying the tax system so businesses and individuals receive their correct entitlements and spend less time filling in forms.
- Businesses grossing less than $5m will have a new pay-as-you-go tax option from 1 April 2018. This means 110,000 businesses will not have to worry about paying provisional and terminal tax if they choose to take up this option.
- Next term, we extend this option to all businesses – making provisional tax a thing of the past for all businesses that want a change.
- Read more here.
- Amend (from 1 April 2018) Capital Limitation rules in the Income Tax Act to treat seismic strengthening as “repairs and maintenance”.
- Reduce Company Tax rates over three years to 25%.
- Introduce an Export Tax rate of 20% on export generated income.
- Introduce a100% depreciation rate for business equipment worth up to $20,000 for each item (exclusive of GST).
- Introduce Research & Development Tax Credits starting at 125% in the second year when a company invests 2% of its revenue on research, rising to 150% for the third consecutive year and 200% from year four onwards.
- Read more here.
Not yet available on their website.
 |
 |
 |
 |
We welcome your comments below. If you are not already registered, please register to comment.
Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making such comments. Our current comment policy is here.