Published 16th September 2019 by RSM New Zealand Group
Make the most of the new RESEARCH & DEVELOPMENT Tax Incentive Program (R&D)
New Zealand’s recently introduced R&D Tax Incentive program offers some of the most generous
R&D funding benefits available across Asia Pacific.
This tax incentive program will play a major role over the next 10 years in lifting New Zealand business R&D spend to an ambitious 2% of GDP (up from 0.63%) by the year 2030. It will also assist in countering the phasing out of the existing Callaghan Innovation Growth Grants due to end on 31 March 2021.
Published 16th September 2019 by KnowHow.co.nz
A significant number of clients over the last two months have been reducing their staffing levels in response to a weakening and uncertain economy.
Reasons for Restructuring
● Increases in the minimum rate from $15.75 in 2017 to $17.70 at 1 April 2019
● Anticipating the minimum rate increases in 2020 and 2021 (indicative rates of $18.90 and $20 respectively)
● Relativity pressure on wages as a result of the minimum rate increases and living wage pressure
● Increased regulation resulting in business decisions to shrink overheads, maintain profitability and “wait it out”
● A move to automation