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PKF Bay of Islands

Accountants and business advisers

News

COVID-19

COVID-19 - Week 3 Update

20 Apr 2020

IRD Temporary loss carry-back scheme


This temporary change should be introduced in a bill in the week beginning 27 April.
Businesses expecting to make a loss in either the 2019/20 year or the 2020/21 year would be able to estimate the loss and use it to offset profits in the past year. In other words, they could carry the loss back one year.
This change means we could refund some or all the tax already paid for the year they were in profit. It means firms could cash out all or some of their losses in 2019/20 or 2020/21. Without this change, firms would have to carry forward any loss to a year when they make a profit.

Taxpayers do not need to rush to re-estimate their provisional tax before 7th May. Part of the proposed law change would make it possible for them to re-estimate it after the date of the final instalment. This will give them more time to work out any estimated loss for the 2020/2021 income year.

 

Regional Business Partner (RBP) Programme

This latest round of Government business support includes grant funding through the Regional Business Partner (RBP) programme.

Sound business continuity planning and cash flow forecasting has never been so important.

We’ve all had enough surprises so it’s essential that your plans and forecasts pave a way forward for your business.
PKF Bay of Islands are a registered RBP partner and can help you access “dollar for dollar” funding to assist you address the immediate issues and to plan for the challenges that may lie ahead.

The funding is available to provide support, training and coaching for:

Business Continuity Planning Session - supporting business owners to develop a Business Continuity Plan to navigate the next few months.

Business Planning - support developing your business plan to get a clear view of the businesses direction. Establishing a 90 day action plan to address immediate issues.

Finance & Cash Flow Management - Forecasting, cash flow planning and management will be critical to survival in theses current times and to enable timely decisions to be made. Support will be provided for bank financing and funding applications, ways to manage tax commitments, avoid late payment penalties and interest, and maximise available cash.

* More services are coming soon

Funding Access:

Businesses will need to register through the Regional Business Partner website and meet (virtually) with a RBP advisor. To be eligible you need to meet the following criteria:

  • Have undergone an assessment with a Regional Partner (Growth Advisor)
  • Have fewer than 50 Full time equivalent employees
  • Are registered for GST in New Zealand
  • Are operating in a commercial environment and
  • Are a privately-owned business or are a Maori Trust or incorporation under the Te Ture Whenua Maori Act 1993 or similar organisation managing Maori Assests under multiple ownership.

Funding is LIMITED and allocated on a first in first serve basis.

To register click here

 

Level 3 (Restrict)

On Thursday 16th April 2020, the Prime Minister has revealed what life will be like in alert level 3.

Range of measures:

  • People instructed to stay home in their bubble other than for essential personal movement – including to go to work, school If they have to or for local recreation.
  • Physical distancing of two metres outside home (including on public transport), or one metre In controlled environments like schools and workplaces.
  • Bubbles must stay within their immediate household bubble, but can expand this to reconnect with close family / whanau, or bring in caregivers, or support isolated people. This extended bubble should remain exclusive.
  • Schools (years 1 to 10) and Early Childhood Education centres can safely open, but will have limited capacity. Children should learn at home if possible.
  • People must work from home unless that Is not possible.
  • Businesses can open premises, but cannot physically interact with customers.
  • Low risk local recreation activities are allowed.
  • Public venues are closed (e.g. libraries, museums, cinemas, food courts, gyms, pools, playgrounds, markets).
  • Gatherings of up to 10 people are allowed but only for wedding services, funerals and tangihanga. Physical distancing and public health measures must be maintained.
  • Healthcare services use virtual, non-contact consultations where possible.
  • Inter-regional travel is highly limited (e.g. for essential workers, with limited exemptions for others).
  • People at high risk of severe Illness (older people and those with existing medical conditions) are encouraged to stay at home where possible, and take additional precautions when leaving home. They may choose to work. 

For more information about the different levels visit:Government Covid-19

 

For assistance with your funding application or assistance with anything mentioned above, contact the office today.

 

 


Get In Touch

For more information on how our services can help your business get in touch.

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