Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


APN News heading to court over $48M tax dispute with IRD

APN News heading to court over $48M tax dispute with IRD

Feb. 25 (BusinessDesk) – APN News & Media is heading to the High Court over a $48 million tax claim after failing to convince the Inland Revenue Department that its deductions for interest claimed on certain financing transactions was correct.

The publisher of the NZ Herald newspaper had hoped to resolve the dispute via the IRD’s adjudication unit, whose work is aimed at resolving claims at an early stage to reduce the number of litigated cases.

But the unit advised the company on Friday that it agrees with IRD’s position, meaning the tax department will shortly issue APN with notices of assessment denying the deductions.

“In response to this step the company will commence litigation in the High Court to defend its position in relation to this matter,” APN said in a statement. “The company is satisfied that its treatment of the financing transactions is consistent with all relevant legislation and that no tax will become payable.”

IRD is seeking the $48 million for the period up to Dec. 31 and penalties amounting to 50 percent of the tax in dispute as well as interest. That pushes the total above $72 million though APN said it has tax losses it can use as an offset amounting to $32 million.

Extra tax is the last thing APN needs right now, having posted a full-year net loss of A$455.8 million last week on increased write-downs on the value of goodwill and its newspaper mastheads.

The company’s managing director and most of its board resigned this month after major shareholders opposed plans to raise new capital.

The shares last traded at 27.5 Australian cents on the ASX and have shed two thirds of their value in the past 12 months.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Must Sell 20 Petrol Stations: Z Cleared To Buy Caltex Assets

Z Energy is allowed to buy the Caltex and Challenge! petrol station chains but must sell 19 of its retail sites and one truck-stop, the Commerce Commission has ruled in a split decision that acknowledges possible retail price coordination between fuel retailers occurs in some regions. More>>

ALSO:

Huntly: Genesis Extends Life Of Coal-Fuelled Power Station To 2022

Genesis Energy will keep its two coal and gas-fired units at Huntly Power Station operating until 2022, having previously said they'd be closed by 2018, after wringing a high price from other electricity generators who wanted to keep them as back-up. More>>

ALSO:

Dammed If You Do: Ruataniwha Irrigation Scheme Hits Farmer Uptake Targets

Enough Hawke's Bay farmers have signed up for water from the proposed Ruataniwha Water Storage Scheme for it to go ahead as long as a cornerstone institutional capital investor can be found to back it, its regional council promoter announced. More>>

ALSO:

Reserve Bank: OCR Stays At 2.25%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2.25 percent, in a decision traders had said could go either way, while predicting inflation will pick up as the slump in oil prices washes out of the data and capacity pressures start to build in the economy. More>>

ALSO:

Export Values Down: NZ Posts Biggest Annual Trade Deficit In 7 Years

New Zealand has recorded its biggest annual trade deficit since April 2009, reflecting weaker prices of agricultural commodities such as dairy products, beef and lamb, and increased imports of vehicles and machinery. More>>

ALSO:

Currency Events: NZ's New $5 Note Wins International Banknote Award

New Zealand’s new Brighter Money $5 note has been named Banknote of the Year in a prestigious international competition. The $5 note was awarded the IBNS Banknote of the Year title at the International Bank Note Society’s annual meeting. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news