A C C

Tag: Tax Returns New Zealand

  • How to choose the right chartered accountant in Auckland?

    How to choose the right chartered accountant in Auckland?

    Choosing the right chartered accountant in Auckland can have a major impact on the success of your business. Whether you’re a small business owner, contractor or growing company, having the right accountant by your side can help you stay compliant, improve cash flow, and make smarter financial decisions.

    But with so many accounting firms available, how do you know which chartered accountant is the right fit for your business?

    In this guide, we’ll cover what to look for in a chartered accountant, the key questions to ask, and why working with a local Auckland accountant can benefit your business long-term.

    What does a chartered accountant do?

    A chartered accountant does far more than prepare tax returns. A good chartered accountant is proactive and helps businesses manage their finances effectively while providing strategic advice to support growth.

    A chartered accountant in Auckland can assist with:

    • Tax returns and tax planning
    • GST and IRD compliance
    • Financial reporting
    • Business advisory services
    • Cash flow forecasting
    • Xero and cloud accounting
    • Business structuring and setup

    For many businesses, a chartered accountant becomes a trusted advisor who helps guide important financial decisions throughout the year.

    Why choosing the right chartered accountant matters

    Not all accountants offer the same level of service, expertise, or support. Choosing the right chartered accountant in Auckland means finding someone who understands your business goals and can provide advice tailored to your industry and stage of growth. The right accountant can help you:

    • Save time and reduce stress
    • Avoid costly financial mistakes
    • Improve profitability
    • Stay compliant with New Zealand tax obligations
    • Plan for future growth
    • Gain better visibility over your finances

    A proactive accountant can also identify opportunities to improve business performance and help you make more informed financial decisions.

    What to look for in a chartered accountant?

    Industry experience

    One of the most important things to consider is whether the accountant has experience working with businesses similar to yours.

    Some chartered accountants specialise in:

    • Small businesses
    • Tradies and contractors
    • Property investors
    • Startups
    • Professional services
    • Hospitality businesses

    An accountant who understands your industry is more likely to provide practical and relevant advice.

    At ANCA Accounting Solutions, we provide tailored accounting and business advisory services to clients across a wide range of industries throughout New Zealand. Our experience includes working with businesses in professional services, construction, property investment, property maintenance, trades,  the dance industry etc.

    We understand that every industry has unique financial challenges, which is why we offer customised solutions for business accounting, tax planning, cashflow management, GST returns, and business growth strategies.

    Chartered accountant qualifications

    When researching accountants in Auckland, it’s important to choose someone with recognised chartered accountant qualifications.

    A chartered accountant has completed professional training and meets strict industry standards, giving you confidence that your financial matters are being managed professionally.

    Our Director, Anzette Nannepaga, has been a Chartered Accountant since 2015 and brings extensive experience in tax, business accounting, and financial management.

    Anzette has held senior roles within Inland Revenue, including experience as a Team Leader, Senior Management Accountant, and within the Debt Collections Team . This background provides valuable insight into New Zealand tax compliance, business accounting, GST obligations and financial reporting.

    With strong expertise in small business accounting, tax planning, cashflow management, and business advisory services, Anzette works closely with clients to help them improve profitability, stay compliant, and build financially stronger businesses.

    Clear communication

    Accounting and tax can feel overwhelming for many business owners, so clear communication is essential.

    A good chartered accountant should:

    • Explain financial information clearly
    • Communicate proactively
    • Be responsive and approachable
    • Keep you informed throughout the year

    Strong communication helps build trust and ensures you fully understand your financial position.

    At ANCA Accounting Solutions, we believe that clear communication and simple, practical guidance are essential to delivering great accounting and business advisory services. We take pride in explaining financial and tax matters in a way that is easy to understand, so our clients always feel informed and confident in their decisions.

    We encourage our clients to reach out with any questions about business accounting, tax returns, GST, or cashflow. Our clients value this approach because they know they can ask questions without being charged for every email or query, creating an open and supportive working relationship. This commitment to accessible, client-focused accounting support helps business owners stay on top of their finances and make better decisions for their business growth.

    Technology and cloud accounting

    Modern accounting is increasingly digital, and many Auckland businesses now rely on cloud accounting software like Xero.

    When choosing a chartered accountant in Auckland, ask:

    • Do you work with Xero?
    • Can you provide cloud accounting support?
    • How do you streamline financial processes?

    Using modern accounting systems can improve efficiency and provide real-time insights into your business finances.

    At ANCA Accounting Solutions, we use Xero for majority of our clients because it is a powerful and user-friendly cloud accounting software for both business owners and accountants.

    Xero provides real-time financial insights, helping business owners better understand their cashflow, track business performance, and make informed financial decisions. For our team, Xero helps streamline business accounting, bookkeeping, GST returns, and tax compliance, making the preparation and filing of returns more efficient and accurate. By using Xero accounting software, we can provide reliable business accounting services with improved efficiency, accuracy, and financial visibility for our clients across New Zealand.

    Business advisory services

    The best chartered accountants offer more than compliance services. They provide strategic business advice that helps support long-term growth.

    This may include:

    • Budgeting and forecasting
    • Cash flow planning
    • Profit improvement strategies
    • Business growth advice
    • Financial planning

    Having an accountant who understands the bigger picture can be incredibly valuable as your business evolves.

    At ANCA Accounting Solutions, we thrive on providing value-added accounting and business advisory services that help our clients achieve better financial outcomes. Our clients benefit most when they move beyond basic compliance and start using their numbers to make informed business decisions.

    Through our small business advisory services, we help business owners improve profitability, cashflow management, tax efficiency, and overall business performance. By combining practical accounting support with proactive advice, we ensure our clients are not just compliant, but also strategically positioned for growth.

    Our focus is on delivering real value through accounting, tax planning, and business advisory support, helping you build a stronger, more sustainable business.

    Questions to ask before hiring an accountant

    Before choosing an accountant, it’s worth asking a few key questions during your initial consultation.

    These may include:

    • What industries do you specialise in?
    • What accounting software do you use?
    • How do you structure your fees?
    • Who will be my main point of contact?
    • How often will we communicate?
    • Do you offer proactive tax planning?

    These questions can help you determine whether the accountant is the right fit for your business needs.

    Why work with a local accountant?

    Working with a local chartered accountant in Auckland offers several advantages.

    A local accountant understands:

    • The Auckland business environment
    • Local industries and challenges
    • New Zealand tax requirements
    • The needs of Auckland business owners

    Many businesses also value being able to build a long-term relationship with an accountant who understands their goals and can provide personalised support.

    Final Thoughts

    Finding the right chartered accountant in Auckland is about more than compliance, it’s about choosing a financial partner who can support your business now and into the future.

    By looking for industry experience, strong communication, modern accounting systems, and proactive advice, you’ll be in a better position to choose an accountant who genuinely adds value to your business.

    Looking for a trusted chartered accountant in Auckland?

    If you’re looking for professional accounting support tailored to your business needs, our team is here to help. We work with Auckland businesses and businesses across New Zealand to provide practical accounting, tax and advisory services designed to support long-term growth.

    Contact Anca Accounting Solutions today to discuss we can support your business.

  • Small business tax returns NZ: Key considerations for your business

    Small business tax returns NZ: Key considerations for your business

    As the 7 July tax return deadline approaches in New Zealand, many small business owners, contractors and property investors will be preparing their income tax returns for the financial year ended 31 March

    Whether you run a small business, operate as a sole trader, or own rental property, taking time to review your financial position can help ensure your tax return is accurate and tax-efficient. Planning ahead also allows you to identify opportunities to minimise tax and improve your cash flow for the upcoming financial year.

    Working with an experienced accountant can help ensure you meet Inland Revenue requirements while making the most of available deductions.

    At ANCA Accounting Solutions we work with established businesses across Auckland to help them prepare accurate tax returns and plan confidently for the year ahead.

    Why small business tax planning matters

    Many business owners only think about tax when it is time to file their return. However, effective tax planning throughout the year can make a significant difference to your financial outcomes.

    Reviewing your finances before submitting your small business tax return in New Zealand
    allows you to:

    • Ensure all eligible expenses are claimed
    • Identify potential tax savings
    • Maintain compliance with Inland Revenue requirements
    • Plan for business growth in the coming year

    Below are some practical tax tips to consider when preparing your return.

    Tax tips for small business owners in New Zealand

    Accrue expenses before 31 March

    If you have unpaid bills as of 31 March, they can be recorded as Accounts Payable, helping to reduce your profit and potentially lower your tax for the year. This follows the principle of expenses being recognized when they are incurred, not when they are paid.

    Recording these expenses ensures your financial statement accurately reflects all obligations for the period. By capturing unpaid bills, you avoid overstating profit and gain a clearer view of your business’s true financial position.

    Xero tip: In Xero, you can record unpaid bills by entering them as a “Bill to Pay.” This keeps your accounts up to date and ensures expenses are included in the correct financial year.

    Write off bad debts

    If your business has outstanding invoices that you know will not be paid, you can write them off as bad debts. This is an important part of accounting, as it ensures your financial records remain accurate and up to date.

    Writing off bad debts means you won’t be taxed on income you never actually received. Income is usually recorded when an invoice is issued not when payment is received so failing to write off uncollectible invoices could result in paying tax on money you won’t get.

    Removing bad debts also improves the accuracy of your financial statements, giving a clearer picture of your business’s true income and cash flow.

    To claim a bad debt:

    • The debt must be written off in your accounts before the end of the financial year.
    • You must show reasonable steps were taken to recover the amount

    Writing off a debt does not prevent you from continuing to pursue payment or referring the debtor to a collection agency. If payment is eventually received, the amount will be treated as income at that time.

    Claim eligible donations

    If you have made donations to an approved New Zealand charity, you may be able to claim a 33% tax credit on the donated amount.
    Your taxable income must be equal to or greater than the donation amount. Once your income tax return has been filed, you can also submit a Donation Tax Credit return to Inland Revenue.

    Your taxable income must be equal to or greater than the donation amount. Once your income tax return has been filed, you can also submit a Donation Tax Credit return to Inland Revenue.

    Fixed assets

    At the end of each financial year, it is important to review your fixed asset register.

    If assets have been:

    • disposed of
    • damaged
    • replaced
    • or are no longer used in the business

    they may be written off so that any loss on disposal can be claimed as a deduction for the year.

    For the 2026 Financial Year, the Investment Boost enables businesses to claim 20% of the cost of new assets immediately as an expense if the asset was purchased after 22 May 2025. Business can continue to claim depreciation on the remaining 80% of the value of the assets. By claiming the 20% upfront deduction, businesses reduce taxable income, freeing up funds to invest in growth that would otherwise be used to pay tax.

    You always need to ask yourself the question; is it worth spending $1 to save yourself a maximum of $0.39 (the top tax rate)? For every $1 you spend you save $0.39, so if you purchase an asset that costs you $5,000, you save a maximum of $1,950.

    Xero Tip: When registering a new asset in Xero, select the 20% option in the Investment Boost box. This ensures the immediate deduction is applied correctly.

    Claim home office expenses

    Small business owners working from home can claim a portion of their household expenses in their business. The amount the business owner can claim is based on the percentage of your home that is a dedicated office space.

    To calculate your home office deduction, you’ll need to determine:

    • The total floor area of your home and
    • The total floor area used exclusively for business

    You can claim a portion of expenses such as:

    • Mortgage interest or rent
    • Council rates
    • Insurance
    • Utilities such as electricity and internet

    Get our free home office expense template

    We provide a simple, easy-to-use template to help you collate your home office expenses. If you would like a copy, get in touch and we will send it through.

    Low-value asset threshold

    Running a business means investing in equipment — tools, office furniture, shelving, or even a coffee machine for your home office. The good news? If an item falls under the low-value assets threshold, you may be able to claim the full cost as a tax deduction immediately, rather than depreciating it over several years.

    The low-value assets threshold is currently $1,000 (excluding GST). This means that if you purchase an eligible item for your business under this amount, you can write off the entire cost in your tax return.

    Common examples of low-value assets include:

    • Small tools and equipment
    • Office chairs and desks
    • Shelving or storage units
    • Electronics like printers or coffee machines

    Use-of-money interest

    If Inland Revenue charges use-of-money interest, it may be claimed as a deductible expense in your tax return.

    However, penalties issued by Inland Revenue are not tax deductible and cannot be claimed.

    Expenses that are not tax deductible

    Not all expenses can be claimed as deductions in your income tax return. Examples of non-deductible expenses include:

    • Most clothing, footwear and eyewear unless it is a uniform or protective clothing
    • Fines and penalties
    • Income tax payments
    • GST payments
    • Loan principal repayments

    Understanding these rules helps ensure your small business tax return remains compliant with Inland Revenue.

    Maintain accurate records

    Maintaining accurate financial records is essential when preparing your small business tax return in NZ.

    Accounting software such as Xero allows businesses to:

    • Attach invoices to transactions
    • Store important financial documents
    • Track income and expenses throughout the year

    Keeping records organised makes tax time significantly easier and helps ensure compliance if Inland Revenue requests information.

    Planning Ahead for the Next Financial Year

    Once your tax returns have been completed, it is a great opportunity to focus on the future of your business.

    Consider asking yourself:

    • What three key business goals do you want to achieve this year?
    • Are these goals SMART (Specific, Measurable, Achievable, Relevant, Time – bound)?
    • Can you review your progress quarterly to stay accountable?
    • If your goal is to grow your business, Take Action:Let existing clients know you are
    • Available for more work
    • Encourage satisfied clients to leave a Google review
    • Delegate and Automate i.e. improve operational efficiencies so that you can focus on
    • High value work
    • Hire and surround yourself with the best people
    • Accelerate cash and managing cashflow

    Strategic planning can significantly improve your business performance over time.

    Work With ANCA Accounting Solutions

    Preparing your small business income tax returns in New Zealand can be complex, particularly if you run a business, manage rental property, or have multiple income sources.

    Partnering with an experienced Chartered Accountant in Auckland can help ensure:

    • Your tax return is accurate and compliant with Inland Revenue requirements
    • All eligible business deductions are claimed
    • Your finances are structured to support long-term growth and profitability

    At ANCA Accounting Solutions, we help business owners, contractors, and property investors navigate tax obligations with confidence.

    For personalised advice on preparing your small business Income tax return, or to discuss your business goals with our team, contact ANCA Accounting Solutions today.

    ANCA Accounting Solutions, supporting Auckland businesses with expert accounting and tax advice.