Tax change would boost technology sector

Sunday 11 July 2004

The technology sector could get a boost from a new IRD report due out on Monday which is likely to float the idea of changing tax rules to encourage capital expenditure on assets such as computers.

By The Landlord

As NBR revealed last month (June 18), the wide-ranging issues paper, wittily titled "Repairs and Maintenance to the Tax Depreciation Rules," is likely to send shudders through the property sector by clamping down on people claiming exorbitant levels of depreciation on residential properties.

But another part of the 190-page document may offer a helping hand to business, with economists crunching the numbers to determine whether tax treatments could be changed to allow businesses to write off plant and technology at a faster rate.


Finance Minister Michael Cullen has indicated he wants to look at whether the private sector is not investing as much into capital infrastructure as it should be for this country to be internationally competitive.

Read More - Opens in a new window
Commenting is closed

Property News

Major industrial development powers on

It’s full steam ahead for the Stevenson Group’s $800 million, 361-hectare industrial and residential development in South Auckland – despite the uncertainties of the post-Covid-19 era.

House Prices

House price drops are short-lived - Alexander

Periods of house price decline are rare and "short-lived", says economist Tony Alexander, amid forecasts of a drop of 10%-15% this year.

Commercial

Resilience needed in face of change

The Reserve Bank says the commercial property sector is vulnerable to the Covid-19 crisis. But PMG Funds' chief executive believes that while there’ll be short-term pain, the biggest long-term impact will be structural change.

Mortgages

Mortgage lending slumps to record low in April

Mortgage lending fell to its lowest level on record last month as the property market ground to a halt during the Covid-19 lockdown.

Site by PHP Developer