IS SELLING YOUR HOME TAXABLE?

puzzled boy

Is selling your home taxable? Or in other words, do you have to pay tax when selling your home? Buying and selling your private or family home typically is not taxable. However some are looking to purchase a family home with the intention of reselling it in time, and a few earn their income this…

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RESIDENTIAL TENANCIES LAW CHANGES EFFECT ON LANDLORDS

Residential Tenancies Law Changes: Effect on Landlords.  Have you been wondering about this? Here is a recap of what happened in 2020; scroll down for the latest version of the ever-changing tenancy laws   The Residential Tenancies laws have changed. What effect does the “Healthy Homes Act” have on landlords? The Residential Tenancies Amendment Act…

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RESIDENTIAL PROPERTY TAX IN NEW ZEALAND: WHICH RULES APPLY (AND WHEN)?

Residential Property Tax in New Zealand: Which Rules Apply (and When)?

Residential property tax in New Zealand: Which rules apply (and when)? That is the big question. If you own, rent, or occasionally use a residential property in New Zealand, your deductions and potential tax on sale depend on how you use the property in each income year. That sounds simple—until you confront overlapping frameworks like…

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TAX TRAPS IN NEW ZEALAND LAND TRANSACTIONS

anxious couple in their home

Tax traps in New Zealand land transactions: is that a thing? Yes. New Zealand’s Inland Revenue Department (IRD) has significantly sharpened its tools for detecting taxable land transactions. With the integration of artificial intelligence (AI) into its systems, the IRD now has unprecedented capabilities to identify patterns, flag anomalies, and enforce tax compliance more rigorously…

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ARE ASBESTOS REMOVAL COSTS TAX-DEDUCTIBLE?

ARE ASBESTOS REMOVAL COSTS TAX-DEDUCTIBLE?

Are asbestos removal costs tax-deductible? Asbestos remains one of the most persistent legacy hazards in New Zealand buildings. While its use declined sharply after the 1980s due to clear links to serious health risks, many homes, commercial buildings, and industrial structures still contain asbestos today. As these buildings age, owners frequently incur costs to test,…

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OFFSET LTC PROFITS OR LOSSES AGAINST OTHER RENTALS

hourglass money sand

Note that you can’t offset any losses against income from other sources e.g. wages, like you used to in the good old days. That is what the concept of “ring-fencing of losses” means. The losses are “ring-fenced” so that they only apply to residential rental property.

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BEST OWNERSHIP STRUCTURES FOR INVESTMENT PROPERTY

9 times out of 10 an LTC is the best structure for owning a rental property: “You have the benefit of limited liability, a legal structure that is clearly a separate entity yet under your control, and yet it is treated at tax time like a partnership: the best of both worlds.”‘

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NOT ALL PROPERTY MANAGERS ARE CREATED EQUAL

property manager shows a family around a home they might rent

Not all property managers are created equal!  What do we mean? In the world of property investment, one of the most critical decisions you’ll make is choosing the right property manager. While many companies promise to “take the stress out” of managing your rental property, the reality is that not all property managers are created…

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REPAIRS TO NEWLY ACQUIRED ASSETS: WHAT’S TAX DEDUCTIBLE?

building in need of repair

Repairs to newly acquired assets: what’s tax deductible? When acquiring an asset – including rental property – it’s common to incur repair costs to bring it up to a usable standard. But can those costs be claimed? The Inland Revenue Department (IRD) has released updated guidance on the subject, including a “Question We’ve Been Asked”…

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