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Business valuations
We offer expert valuation advice in transactions, regulatory and administrative matters, and matters subject to dispute – valuing businesses, shares and intangible assets in a wide range of industries.
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Capital markets
You need corporate finance specialists experienced in international capital markets on your side if you’re buying or selling financial securities.
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Complex and international services
Our experience of multi-jurisdictional insolvencies coupled with our international reputation allows us to deliver the best possible outcome for all stakeholders.
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Corporate insolvency
Our corporate investigation and recovery teams can help you manage insolvency situations and facilitate the best outcome.
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Debt advisory
An optimal funding structure for your organisation presents unprecedented opportunities, but achieving this can be difficult without a trusted advisor.
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Expert witness
Our expert witnesses analyse, interpret, summarise and present complex financial and business-related issues which are understandable and properly supported.
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Financial models
A sound financial model will help you understand the impact of your decisions before you make them. Talk to us about our user-friendly models.
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Forensic and investigation services
We provide investigative accounting and litigation support services for commercial, matrimonial, criminal, business valuation and insurance disputes.
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Independent business review
Is your business viable? Will it remain viable in the future? A thorough independent business review can help your organisation answer these fundamental questions.
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IT forensics
Effective ESI analysis is integral to the success of your business. Our IT forensics experts have the technical expertise to identify, preserve and interrogate electronic data.
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Mergers and acquisitions
Grant Thornton provides strategic and execution support for mergers, acquisitions, sales and fundraising.
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Raising finance
Raising finance - funders value partners who can deliver a robust financial model, a sound business strategy and rigorous planning. We can guide you through the challenges that these transactions can pose and help you build a foundation for long term success once the deal is done.
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Relationship property services
Grant Thornton offers high quality independent advice on the many financial issues associated with relationship property from considering an individual financial issue to all aspects of a complex settlement.
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Restructuring and turnaround
Grant Thornton’s restructuring and turnaround service capabilities include cash flow, liquidity management and forecasting; crisis and interim management; financial advisory services to companies and parties in transition and distress
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Transaction advisory
Our depth of market knowledge will steer you through the transaction process. Grant Thornton’s dynamic teams offer range of financial, commercial and operational expertise.
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Corporate tax
Grant Thornton can identify tax issues, risks and opportunities in your organisation and implement strategies to improve your bottom line.
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Employment tax
Grant Thornton’s advisers can help you with PAYE (payroll tax), Kiwisaver, fringe benefits tax (FBT), student loans, global mobility services, international tax
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Global mobility services
Our team can help expatriates and their employers deal with tax and employment matters both in New Zealand and overseas. With the correct planning advice, employee allowances and benefits may be structured to avoid double taxation and achieve tax savings.
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GST
GST has the potential to become a minefield and can be expensive when it goes wrong. Our technical knowledge can help you minimise the negative impact of GST
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International tax
International tax rules are undergoing their biggest change in a generation. Tax authorities around the world are increasingly vigilant, especially when it comes to global operations.
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Research and Development
R&D tax incentives are often underused and misunderstood – is your business maximising opportunities for making claims?
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Tax compliance
Our advisers help clients manage the critical issue of compliance across accountancy regulations, corporation law and tax. We also offer business and wealth advisory services, which means we can provide a seamless and tax-effective offering to our clients.
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Transfer pricing
Tax authorities are demanding transparency in international arrangements. We businesses comply with regulations and use transfer pricing as a strategic planning tool.
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Audit methodology
Our five step audit methodology offers a high quality service wherever you are in the world and includes planning, risk assessment, testing internal controls, substantive testing, and concluding and reporting
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Audit technology
We apply our audit methodology with an integrated set of software tools known as the Voyager suite. Our technology has been developed to produce quality audits that are effective and efficient.
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Financial reporting advisory
Our financial reporting advisers have the expertise to help you deal with the constantly evolving regulatory environment.
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Business architecture
Our business architects help businesses with disruptive conditions, business expansion and competitive challenges; the deployment of your strategy is critical to success.
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Cloud services
Our team is led by cloud business experts who tailor services to the needs of your organisation, from strategy and implementation to ongoing services assurance.
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Internal audit
Our internal audits deliver independent assurance over key controls within your riskiest processes, proving what works and what doesn’t and recommending improvements.
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IT advisory
Our hands on product experience, extensive functional knowledge and industry insights help clients solve complex IT and technology issues
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IT privacy and security
IT privacy and security should support your business strategy. Our pragmatic approach focuses on reducing cyber security risks specific to your organisation
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Organisational & cultural change
The key to sustainable and future growth is a unified organisation operating within a strong cultural context, where transparency and communication are the priority for Kaimahi, and where visible leadership means walking the talk – but where does that journey begin?
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Payroll assurance
Our specialist payroll assurance team can conduct a review of your payroll system configuration and processes, and then help you and your team to implement any necessary recalculations.
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PCI DSS
Our information security specialists are approved Qualified Security Assessors (QSAs) that have been qualified by the PCI Security Standards Council to independently assess merchants and service providers.
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Process improvement
As your organisation grows in size and complexity, processes that were once enabling often become cumbersome and inefficient. To maintain growth, your business must remain flexible, agile and profitable
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Procurement/supply chain
Procurement and supply chain inputs will often dominate your balance sheet and constantly evolve for organisations to remain competitive and meet changing customer requirements
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Project assurance
Major programmes and projects expose you to significant financial and reputational risk throughout their life cycle. Don’t let these risks become a reality.
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Risk management
We understand that growing companies need to establish robust internal controls, and use information technology to effectively mitigate risk.
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Robotic process automation (RPA)
RPA is emerging as the most sophisticated form of automation used to help businesses become more agile and remain competitive in the face of today’s ongoing digital disruption.
Fringe benefits
Weren’t the 80s great?
The best music. Great movies and TV shows. Straight forward video games. OK, maybe not the fashion.
The mid-1980s also saw some radical changes to the New Zealand tax landscape, with the introduction of new regimes that, today, feel like they’ve been with us forever. In particular, Goods and Services Tax was introduced, as was Fringe Benefit Tax (FBT).
The rationale for introducing FBT was quite straight-forward. Employees being paid normal wages and salaries were (and continue to be) taxed through the PAYE system. However, employees whose remuneration packages included non-cash items were generally not taxed. Such “fringe benefits” typically included a company car, low-interest loans, subsidised goods and services and other benefits.
That situation encouraged the practice of salary sacrifice. An employer and employee could negotiate a total remuneration package that had a lower cash component (and therefore a lesser amount subject to tax) with the difference made up in other benefits not subject to tax. Depending on the outcome of the negotiation, the tax saving could benefit either the employer (with a lower gross cost yet the employee still receiving the same net value) or the employee (with the total gross value remaining the same, but a higher net value).
The introduction of FBT changed that. Payable by the employer, it is an important factor in determining the total cost of employing someone. Anecdotally, the most common benefits provided relate to motor vehicles – and often the FBT relates to the shareholder-employee of a business run through a company structure.
There are many rules and exceptions that relate to FBT, making it a complex and time-consuming tax to deal with. It has been tinkered with over the years, most notably early last decade. At that time, the flat rate of 49% was changed to a system of specifically attributing benefits to employees, and matching the FBT rate to each employee’s personal effective tax rate. This made doing FBT calculations even more convoluted.
Recently, the Minister of Revenue has announced proposed further changes to the FBT rules. Essentially, two main changes are planned.
The first addresses an oddity regarding the provision of car parks, arising from a general exception from FBT for certain benefits provided on the employer’s premises. If the employer provides a carpark space that is owned or specifically leased, then there is no FBT. However, if the benefit is simply the right to any space in a facility then there is FBT as no particular space is owned or leased, and so cannot be said to be part of the employer’s premises. The proposed changes will generally see all carparks subject to FBT (with some exceptions – of course).
The second change will ensure that certain benefits are included in assessing a person’s entitlement to social assistance (eg Working for Families, student loans, child support). Some provision for this already exists but it is generally limited to where a person is a controlling shareholder in a company that employs them
The general exemption for charities is also to be reviewed. Some charities have taken advantage of this loophole to significantly swap cash salaries for benefits in kind, such as grocery and petrol vouchers. While that may well comply with the “black letter” of the law, it is arguably (to paraphrase recent court decisions on tax avoidance) not quite what Parliament had in mind.
FBT is the bane of many payroll administrators. It is complicated to work with. But it is a necessary component of a robust tax system. The proposed changes won’t make calculating FBT easier but they will further the integrity and fairness of the tax system.
Further enquiries, please contact:
Geordie Hooft
Partner, Tax
Grant Thornton New Zealand Ltd
T +64 (0)3 379 9580
E geordie.hooft@nz.gt.com