WHEN CAN LAND SALES BE TAXED AS A PROFIT-MAKING SCHEME?

When Can Land Sales Be Taxed as a Profit-Making Scheme

When can land sales be taxed as a profit-making scheme? Inland Revenue has released a draft interpretation statement, PUB00519, that revisits an issue which has been debated by tax advisors, property investors, developers, and Inland Revenue itself for decades. And it is potentially a huge shift in IRD thinking. At the heart of the draft…

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THE DANGERS OF USING AI TO DO YOUR TAX RETURN

A NZ taxpayer doesn't realise the dangers of using AI to do your tax return

The dangers of using AI to do your tax return? What dangers? Well…. We all know that artificial intelligence has become remarkably accessible. Today, anyone can ask ChatGPT, Gemini, Copilot, Claude, or another AI tool a tax question and receive an instant answer that appears authoritative and well researched. That convenience creates a real danger.…

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ARE RENTAL PROPERTY LEGAL FEES TAX-DEDUCTIBLE?

A couple meet with a lawyer to discuss their rental property

Rental property owners often ask one core question: are rental property legal fees tax-deductible? The answer depends on why you incurred the legal cost, not simply that you paid it. Legal fees regularly arise for landlords: They appear during disputes, lease negotiations, trust administration, and property management issues. However, Inland Revenue does not treat all…

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IS SELLING YOUR HOME TAXABLE?

couple discuss with tax accountant about selling property

Is selling your home taxable? Selling your home is often one of the biggest financial events in your life. For many New Zealanders, there’s a deeply held belief that “we don’t have capital gains tax”, so any profit made when selling a house must be tax‑free. That belief is partly true – and partly dangerous. While…

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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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