CLIENT NEWSLETTER – WINTER 2020

 

As you will be aware the Auckland region - Wellsford to Pukekohe has moved back into Alert Level 3 at least until Wednesday 26th August 2020. The rest of NZ will be in Alert Level 2. McIsaacs will continue to operate as close to business as usual, implementing our remote working environments. Please continue to communicate with the accountant who you normally deal with. 

All of our team contact details can be found on our website please click here……

Covid 19 Wage Subsidies 

In response to Alert Level 3 and 2 the government has announced a new payment, the Resurgence Wage Subsidy. It's a two week payment for businesses who meet the criteria and aren't getting the 12 week Wage Subsidy, 8 week Wage Subsidy Extension or the Leave Support Scheme. You can't receive more than one Covid -19 payment from the government for the same employee at the same time. 

There may be an opportunity for those businesses who previously didn't meet the criteria for the 8 week Wage Subsidy to review if they do now qualify given the impact on revenue from 12 August 2020 through to 26 August 2020.  

We would like to clarify under the criteria heading  "you must have a 40% decline in revenue" the wording "for a continuous 30 day period", this means a decline of 40% over that 30 day period as opposed to a 40% reduction each day of the 30 day continuous period. If you are unsure, please contact us and we can help you with the calculations.


Applications for the 2 week Wage Subsidy Resurgence close 3 September 2020.

Click here for the ........Covid 19 - 8 week Wage Subsidy Resurgence

 

Applications for the 8 week Wage Subsidy Extension close 11:59 pm, 1 September 2020.  

Click here for the ....... Covid 19 - 8 week Wage Subsidy Extension


What is revenue?

"Revenue means the total amount of money a business has earned from its normal business activities, before expenses are deducted" (Work & Income, July 2020).  This core definition has been applied by thousands of businesses to apply for the Government's wage subsidy scheme that was implemented due to the COVID-19 pandemic. Whether a 30 percent or more reduction in revenue for the original wage subsidy, or a 40 percent or more reduction for the wage subsidy extension, quantifying the reduction in 'revenue' was a key hurdle to be eligible........Click here to read more.....


FBT on vehicles during lockdown

You wouldn't be blamed for assuming Fringe Benefit Tax (FBT) wouldn't apply to motor vehicles during the Level 4 lockdown period. Other than essential workers, most employees were either working from home or simply unable to work at all and therefore most vehicles were 'parked-up'. However, a fundamental premise of how FBT applies  ......Click here to read more.....

Deductibility of Healthy Homes costs

If you are an owner of a residential property, you will be familiar with the Healthy Homes Standards that were introduced on 1 July 2019. The standards set out the minimum requirements all landlords are required to comply with. Examples of the mandatory requirements include fixed heaters in the main living room, smoke alarms, ceiling and underfloor insulation and ground moisture barriers for some properties......... Click here to read more......

Purchase Price Allocations

Currently, if you enter into a sale and purchase agreement for the sale of business assets, there is no standard practice for how the price should be allocated to the assets. For example, a single price may be agreed for all assets, or the agreed price might be allocated on a line by line basis to each asset. ....... Click here to read more......

Team Update

We are sad to say Denise Chisholm departed McIsaacs at the end of July. Denise started with McIsaacs over 20 years ago when she was employed as a bookkeeper by Harold McIsaac. She has been a big part of McIsaacs over the years but all things come to an end. We wish Denise and her family all the best. If you normally contact Denise, please now contact one of our directors.

Please continue to stay safe everyone.

All the best from the team at McIsaacs.

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Please note: The above E-newsletter notes and the related articles on our website are of a general nature and therefore we urge clients who may be affected by these changes to contact us to discuss your specific circumstances before making any changes or drawing any conclusions.

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  • Takapuna Office

    Ground Floor, Takapuna Finance Centre
    159 Hurstmere Road
    P O Box 331 626
    Takapuna, Auckland

    Phone +64 9 414 4050
    Fax +64 9 447 1645
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