Rules may change for boarders

Sunday 24 October 2004

The tax liabilities of people who host paying boarders may be changed to reflect the income they receive rather than the number of people they put up.

By The Landlord

Under existing rules, anyone with one boarder is not required to return their income. Those with two to four boarders pay tax at a rate of 20 per cent, while those with more than four boarders claim in the normal way for businesses.

Inland Revenue is seeking feedback on a proposal to base tax liability on the amount of income people receive rather than the number of boarders.

The proposed change also sets out a series of standard costs that people can use when claiming tax deductible expenses to off-set against their income and make filing returns easier.

IRD service delivery deputy commissioner Naomi Ferguson said the changes would correct the anomaly where somebody could have a similar income to a small business, yet not have to file a tax return.

Read More - Opens in a new window
Commenting is closed

Property News

Auckland sees highest sales since 2015

The SuperCity turned in its strongest housing sales performance in a July for five years last month, new data from Auckland’s biggest real estate agency reveals.

House Prices

Is the market resurgence coming to an end?

Steady declines in value growth are becoming evident – as QV’s latest data reveals – and that suggests the housing market’s resurgence could be coming to an end.


Augusta Capital takeover bid now unconditional

ASX-listed Centuria Capital has declared that its takeover of New Zealand property funds manager Augusta Capital is now unconditional, as it has secured nearly 66% of Augusta’s shares.


ANZ eases servicing test

ANZ has become the latest bank to ease its servicing test criteria for borrowers, reflecting the lower interest rate environment.

Site by PHP Developer