By now, you have probably received details of how to apply for financial support, the revenue decline required and the dates. So rather than repeating this information, which is easy to find on either the IRD website, MSD or covid19.govt.nz websites, I will list financial support available and if you feel that you are eligible, you can contact me to discuss further. There will be no charge for this discussion, I am more than happy to go through your options.
Everyone must apply for any financial help yourself – and you need to show and keep your workings. I am more than happy to gather the information that you need from Xero and assist you in this process.
- The wage subsidy scheme – to cover wages for yourself and employees. Remember to include yourself in your application.
- The resurgence support – this is to help you pay bills and overheads. This opens on the 24th August.
- Click here to view a document which describes the difference between the wage subsidy and resurgence support scheme.
- If yourself and your staff are affected by covid19 either sick with it or having to isolate, your business may be eligible for the covid-19 leave support scheme or the covid-19 short-term absence payment. Note both these schemes are available regardless of alert levels. You cannot double dip – between the financial support eligible for staff i.e. these ones and the wage subsidy.
- The small business cashflow scheme is still available until December 2023. Note you can only apply for this once.
- Business debt hibernation – have a look though this and their contact me or your accountant about this.
In addition to the above, GST and provisional tax payments are due 30th August for many businesses. The IRD wants accountants and bookkeepers to let you know:
- Please ensure you still file all your returns (tax, GST, PAYE etc), because your information needs to be up-to-date and accurate. It will also help support any of your applications for the relief packages.
- Payment arrangements can be set up, so you can plan to pay any debt back to the IRD overtime. Talk to me about these instalment arrangements and more information here.
- If covid-19 has impacted a business’s ability to pay tax on time, a request can be submitted for remission of penalties and interest through myIrd.
- I am filing all GSTs at the moment and asking my clients if they require instalment arrangements to be set up (I can do this for you).
Lastly, it is very important you read and digest the declaration(s) you sign when applying for the above financial support. Businesses are audited, I have been through a few myself, alongside my clients and have heard of many. As an example, take a look at BDO’s article on applying for the wage subsidy section; important: making your declaration.