2 November 2008
Provisional Tax Changes will help small business
The proposed changes to provisional tax confirmed in Labour’s economic package unveiled today will be especially
welcomed by small and medium sized business, Michael Barnett chief executive of the Auckland Chamber of Commerce said
today.
In a boom-bust economic environment in which a downturn and upswing can occur virtually without warning, it is important
that a business have the flexibility over its taxation arrangements with Inland Revenue to be able to maintain a stable
cash flow situation.
He was responding to Labour’s announcement that for the period 15 January next year to May 2010 that if returned as
Government it will enact legislation to reduce the use of money interest rate for underpayments of provisional tax to
the same level as that paid for overpayment of provisional tax.
ENDS