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Simplified tax rules for trustees welcomed

Simplified tax rules for trustees welcomed -- NZSTA


The New Zealand School Trustees Association is applauding a move that will mean trustees will no longer have to file tax returns for fees paid to them to sit on a school board.

Revenue Minister Michael Cullen has just announced that trustees won’t have to file tax returns for the small honoraria they receive. Payments to trustees under $605 a year and under $825 for chairpersons are not treated as income so are not taxed. However despite this trustees were still required to file a return.

NZSTA President Chris France says the announcement is excellent news as trustees felt filing the return was an unnecessary chore. This is a nice neat tidy-up by the Government of this area of trustee honoraria.

Chris France says the association has been actively calling for a change to the legislation and it is pleasing that the Government has listened.

“It is a very sensible move as we are talking about very small amounts of money, which usually doesn’t come close to covering the expense of being a trustee. Trustees are there for kids and the contribution they can make to our schools. This announcement recognises the important part trustees play in our community.”

He says it is particularly pleasing that the Minister has made the change so it includes the current year.

[ends]


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