Attention, Valued Clients! Provisional tax is due
Posted on 22 Apr 2024
We recently sent out notices to remind you about your third and final provisional tax payment for the 2024 income tax year, which is due on May 7, 2024.
We calculate this payment based on your taxable income from March 31, 2023, and then add 5%.
You might need to adjust the payment if:
- Your profit or income has significantly decreased in the past year.
- Your profit or income has significantly increased in the past year.
This includes cases where you haven't received a payment notice but will have taxable income for the year ending March 31, 2024
Estimated Tax greater than $60k per year
If your estimated tax for the year is going to be more than $60,000, it is crucial to get in touch with us as the IRD will calculate interest on any unpaid tax at 10.91% from 7 May, 2024.
- For companies, this means taxable profit over $215,000.
- For individuals, this means taxable income over $200,000.
If you haven't discussed your provisional tax with us and think any of these situations apply to you, or if you have any questions about your May 7 payment, please reach out to us. We're here to help!
