How to get tax back on clothes

One of the best things about being an accountant (yes there are some) is the ability to get up close and personal with some of the best businesses on the planet.  What’s not so great is being a messenger for the IRD.  Early in my career, I had an incredibly uncomfortable meeting with an elderly gent who just wouldn’t believe it was illegal to claim his glasses and hearing aid, even though he needed them to do his job.  It was quite the battle, I can tell you, so instead of boring him with legislation I told him about the court case where a personal trainer was sentenced, to home detention, for claiming running shoes and that even plain clothes police were taxed on their clothing allowance.

Now, I’m not saying it’s fair. Personally, I’m on your side but is there a way around these laws?  The answer is advertising.   I don’t know how you feel about having your business branding plastered all over your designer jeans but it’s one way to make them tax deductible.  Without advertising, most clothes fail under the scrutiny of a ‘brown-trousered’ tax investigator (unless they’re uniforms or health and safety wear).  We’d hate you to get caught out so why not quizz yourself to see if you can pick what’s deductible below?

“Life, as a business owner, isn’t perfect but your outfit can be”

______________________________    www.boutiquefinancial.com   _______________________________

Boutique Financial Chartered Accountants & Business Commentators

Copyright © 2017 Boutique Financial Limited Chartered Accountants Auckland All Rights Reserved. This publication must be read in accordance with the attached disclaimer and does not provide an exhaustive statement of tax law.

How to get tax back on travel

As many of you know we’re just back from Jordan (that place beside Syria) so what better time to release our travel newsletter, with its usual edge of humour to offset the academia.  Understandably the accounting industry tends to lack humour and I doubt very much that travel review websites, like trip advisor, were invented to provide comic relief either but they seem to have achieved it nonetheless.  Some of the most entertaining reviews I’ve read will unfortunately be etched in my brain for life … particularly the unlucky traveller who, while enjoying a quiet drink by the pool, was “spewed on from the balcony above” and the couple furious about sharing their restaurant table with “Midgets” (in their words, not mine).  Ignoring typo’s (such as Midges*) what you post on public forums matters especially when you’re on a business trip. What most people don’t realise is that submitting reviews and posting business updates, on social media platforms, can really strengthen your travel claim when you’re facing off against an IRD investigator.  It can also work against you so read on for more tips:

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_______________________________    www.boutiquefinancial.com   _______________________________

Boutique Financial Chartered Accountants & Business Commentators

Copyright © 2016 Boutique Financial Limited Chartered Accountants Auckland All Rights Reserved. This publication must be read in accordance with the attached disclaimer and does not provide an exhaustive statement of tax law.

Christmas party travel costs

17319360_s jetIs it too early to talk Christmas yet?  Well our good friends at CCH think not and here’s some Q&A’s they’ve put together to answer all your Christmas tax questions.  The first, in the series, is all about claiming travel costs to your firms Christmas party: Continue reading Christmas party travel costs

Giving staff overseas trips

17319360_s jetQuestion

After Christmas Eve Santa, the elves and the reindeer return to the North Pole absolutely exhausted. Santa is proud of the team effort and would like to reward them by taking them to Hawaii for some sunshine. Santa would pay for all of the expenses – food, accommodation and airfares to and from Hawaii. Is the cost of such an overseas trip deductible?  Continue reading Giving staff overseas trips

Should I lease or buy

000015922387lTo lease or not to lease? That is the question. And it’s actually one we’re facing ourselves as we decide whether to lease or buy office space so we completely understand what a daunting decision it can be. It’s even harder when you don’t have our financial background and are up against lease companies doing their darnedest to mislead you about the tax advantages of leasing. Continue reading Should I lease or buy

Getting tax back on coffee, tea & cookies

Business coffeeThe “copy, tee, meel” email has to be one of my all time favourites and if you haven’t seen it, then Googling ‘tanjooberrymutts‘ will help you translate those three words into ‘coffee, tea, milk’.  Unfortunately, translating the laws around business food and drink isn’t quite as simple and, to put it bluntly, very little is actually fully deductible (as you’ll see below): Continue reading Getting tax back on coffee, tea & cookies

Idiots Guide to getting an IRD audit

IRD auditIf you’re a bit of an adrenaline junky and looking for a new business thrill then try an IRD audit. Some Inland Revenue audits even come with surprise raids of your home and may involve taking photographic evidence of your knicker drawer as Dragons’ Den star Paul Webb recently found out.  So if for some reason you’re a bit of an idiot and really keen to hit the IRD’s radar then here’s a few things that’ll help you succeed on your mission:

  1. File your returns late or don’t even bother filing them at all.
  2. Don’t pay your PAYE. This is a goody because it makes you look like a real criminal stealing from your staff.
  3. Be nasty to anyone you’ve done ‘cashies‘ with so they’ll dob you in. Continue reading Idiots Guide to getting an IRD audit