Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Tax Bill targets R&D compliance costs

2 April 2001 Media Statement

Tax Bill targets R&D compliance costs

"Legislation introduced into the House today will allow an immediate tax deduction for all research and development spending expensed under generally accepted accounting practice," Revenue Minister Michael Cullen said.

"We will bring the tax laws into conformity with Financial Reporting Standard 13 so that expenditure which is immediately written off for accounting purposes will also be immediately tax deductible from the tax year beginning this month.

"The Government's announcement on R&D policy is the result of the open dialogue that I have had with business," Dr Cullen said.

Business will also benefit from other compliance cost reduction measures in the bill, which include:

ć Amendments to clarify and simplify the general interest deductibility rules. These will allow most companies to deduct their interest on business borrowings without having to go to the expense of setting up special taxation structures.
ć Amendments that reduce some of the compliance costs associated with the way that unit trusts operate, such as simplifying the shareholder continuity rules.

"These measures have been warmly received by tax practitioners and business and will introduce a lot more simplicity and certainty into the tax system," Dr Cullen said.

The bill also updates the legislation dealing with income tax assessments, to reflect the fact that today it is not Inland Revenue, but taxpayers who make the initial assessment of their own tax liability.

Detailed information on these and other matters in the bill can be found in the commentary on the Taxation (Annual Rates, Taxpayer Assessment and Miscellaneous Provisions) Bill. It is available on the web site of the Policy Advice Division of Inland Revenue at www.taxpolicy.ird.govt.nz.


ENDS

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The New Pike River Agency (And The Air Strike Wing)

Much of the sympathy the public still feels for the families of the Pike River miners has been sustained by the sense that the previous government – let alone the mining company and the processes of receivership and litigation – has never dealt honestly, or fairly, with them.

Finally, yesterday’s announcement by the Ardern government that a new state agency will be set up to assess and plan the manned re-entry to the mine (on a set timetable) goes a long way to meeting the families’ remaining request: that they be enabled, if at all possible, to bury their loved ones. More>>

 

Not Going Swimmingly: Contractor Cut, New Dates For Christchurch Sports Centre

“As an incoming Minister, I have been conducting a thorough review of progress on the Anchor projects and to learn of a $75 million budget blowout on this project was very disappointing..." More>>

ALSO:

Tertiary: Allowances, Loan Living Costs To Get Boost

“From 1 January, student allowance base rates and the maximum amount students can borrow for living costs will rise by a net $50 a week,” says Education Minister Chris Hipkins... further adjusted from 1 April 2018 in line with any increase in the CPI. More>>

ALSO:

Foreign Affairs: Patrick Gower Interviews Jacinda Ardern

Prime Minister Jacinda Ardern says discussions have already begun on how to bring climate change refugees into New Zealand under a Pacific seasonal employment plan... More>>

ALSO:

Gordon Campbell: On The Centre Right’s Love Of ‘Nanny State’

You’d almost think it was 2005 again. That was a time when the rugged individualists of the centre-right were being beset by government regulations on the nature of light-bulbs, the size of shower heads, the junk food available at school tuck shops and other such essentials... More>>

Speaking Of Transport: Public Engagement On Wellington Scenarios

“Our work on possible solutions for Wellington’s transport future is ongoing, but has progressed to the stage where we’re ready to share our ideas with the public and seek their feedback to help guide our next steps...” More>>

ALSO:

Parental Leave: National's Time-Sharing Change Fails

National has proposed a change to the Parental Leave and Employment Protection Amendment Bill that would allow both parents to take paid parental leave at the same time, if that is what suits them best. More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

Featured InfoPages

Opening the Election