Northern News : February 29th 2012
5 NORTHERN NEWS, FEBRUARY 29, 2012 NEWS MARCH 1st - 11th 20% off absolutely everything PLUS clearance bargains Klinac Lane, Waipapa Ph: 407 3556. Open 7 days WEBER LT D chartered accountants and business advisors p.094077117 If.094077649 I POBox501 10 Fairway Drive Kerikeri, 0245 Book out your bach: avoid the tax headache Recent years have seen a surge in popularity in the short-stay rental of holiday homes. The internet has made it easier to list, book and review baches which are available when owners aren't in residence. Inland Revenue have recently issued a paper proposing new rules on mixed-use assets (including holiday homes) where there is a mixture of business and personal use, with revised criteria that should be adhered to when booking out the bach. But until the rules are formally changed, the current policies still apply. Firstly, it's vital that your intentions are bona fide. You must market the bach in a commercial manner ie using a website for the property, registering with a reputable holiday home website or listing it for short stay rental with local real estate agencies. These efforts cannot be seen to be 'token', you should be accepting offers from suitable renters. Secondly, your own (plus family and friends') use of the property must be diarised so you can determine the days in a year that the property was available for renting out. If the property is owned by an individual or a family trust the expenses relating to the property including the utilities (power, rates, insurance), maintenance and interest on debt will be apportioned according to the number of days in a year the house was available for rent. There are GST issues too and there are circumstances where bach owners may be required to register for GST. Both the income tax and GST issues can be quite tricky so we recommend consulting us to make sure all the tax bases are covered correctly. 3741925AE Best of the wild west Bad bandits, left: The baddies ride into town ready for a shoot out. Watch out, below: Wayward gumboot throws send crowds scattering. Go to www.northernnews. co.nz and click on latest edition watch the shoot out between the bandits and the sheriffs. No riffraff, right: Korina Preston keeps any undesirables out of town. Howdy ma'am, top right: Rescued from the bandits by the town sheriff. The whimsical wild west festival in Waimamaku drew crowds of cowboys and cowgirls, sheriffs and bandits for a bit of old-fashioned fun.
February 22nd 2012
March 7th 2012