Introduction & Residency Question 1
1. What is the difference between a direct tax and an indirect tax? Provide
an example of each.
2. Briefly outline the major taxes in New Zealand.
3. Taxes can be classified as progressive, proportionate, regressive, an
inland Revenue Income tax return
Te Tari Taake Com pan ies
income Tax Act 2007, Tax Administration Act 1994,
Injury Prevention Rehabilitation and Compensation Act 2001
19 QUAY STREET
7 April 2009 to 31 March 2010
Companies Question 2
A shareholder has approached you with the following queries regarding
imputation credit accounts:
(a) If the imputation credit account has a debit balance at 31 March, what
penalties would be applicable?
(b) How could the company avoi
Deductions Question 1
1. Express Ltd obtains a loan to purchase a new courier car for their
business and incurs interest on the loan totalling $25,000.
2. Nicola is an employee of Express Ltd and incurs petrol costs on driving to
and from work.
Companies Question 3 - Suggested Solutions
1. Can carry forward loss as 50% shareholder continuity is maintained (i.e.
Look at lowest voting interest during the period. Thus the Company can
carry forward its loss to the 2012 income year.