Businesses that heavily invest in R&D commonly experience cash flow problems. This is because it can take years of sustained R&D before they come up with a marketable product or service that derives a profit. To help overcome this problem and encourage innovation in NZ, the government offers a few support mechanisms. The R&D loss tax credit regime is one such mechanism, introduced in 2016 as part of the government’s Business Growth Agenda. Before the regime was introduced, R&D intensive companies that made a tax loss could only carry the loss forward to future income years to offset against future years’ income. Under the new regime, tax losses arising from eligible R&D expenditure can be re
Inside this edition Provisional tax improvements 1 The perils of a PPOA 2 Targeted marketing activities 3 Taxation of insurance receipts 3 Snippets 4 Nordic tax records 4 Beware of paying excessive salaries 4 All information in this newsletter is to the best of the authors' knowledge true and accurate. No liability is assumed by the authors, or publishers, for any losses suffered by any person relying directly or indirectly upon this newsletter. It is recommended that clients should consult a senior representative of the firm before acting upon this information. Provisional tax improvements New legislation enacted in February substantially simplifies obligations under the provisional tax re
