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Wairarapa MP, Georgina Beyer, says there are only two weeks left for people wanting to have their say on ways the Government could help simplify the tax system and help reduce stress on small business.
Last month the Government released More Time for Business - a discussion document on tax simplification.
It sets out a wide range of proposals for reducing the stress, uncertainty and risks for small businesses in meeting their tax obligations.
"This is an important document for businesses in Wairarapa," Ms Beyer said.
"It is vital for local business owners or anyone with an interest in running a business to look at More Time for Business and to have a serious think about the recommendations.
"The closing date for submissions is 15 June so there is not much time left. You can get a copy of More Time for Business either from Bennetts Government Bookshops or at www.taxpolicy.ird.govt.nz or www.treasury.govt.nz.
"Small businesses make up the majority of businesses in this country - and that is reflected in Wairarapa.
"Reducing compliance costs for small businesses to help them increase their productivity and effectiveness is an important issue for this Government.
"The proposals in More Time for Business are an attempt to achieve that.
The main proposals relating to small businesses are:
- Provisional tax: Small businesses could pay provisional tax as income is earned, rather than paying it in three equal payments throughout the year. For some businesses this would result in a better match of cash flow and tax payments. Other proposals would reduce interest costs associated with the current system for all businesses.
- Employers and PAYE: Employers could reduce their exposure to penalties and interest by using intermediaries such as payroll firms when collecting and paying PAYE.
- End-of-year tax adjustments: Requirements associated with end-of-year income tax calculations for small businesses, such as trading stock valuations, could be reduced.
- Benefiting from information technology: Recent advances in information technology can help to reduce tax compliance costs by reducing the need for businesses to communicate with Inland Revenue, simplifying the calculation and payment of tax, simplifying the filing of returns, and improving the administration of the tax system.
"We need to know what small businesses in Wairarapa think of these proposals. We need feedback from them, from tax advisers and other interested people," Ms Beyer said.
"In the end we want Wairarapa business people to have more time for doing what they do best - running their businesses."
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