From April 2018, small businesses (turnover < $5M) , sole traders and contractors can choose a new pay-as-you-earn option, rather than paying provisional tax in installments several times a year.

Inland Revenue is introducing the Accounting Income Method (AIM) so your business can pay tax as you earn profit. Some accounting software such as MYOB, Reckon and Xero are able to calculate how much tax to pay for each filing period — monthly or two-monthly based on the actual numbers within your accounting system rather than the standard uplift from previous years methods.

Click here for more info or contact Quantum help@quantumnz.co.nz