The end of calving is here (YAY), it is always a good time to shout the staff in some way to say THANK YOU.

But here are the RULES for tax purposes.

If its Dinner and Drinks at home/on farm, or out at a restaurant you can claim 50% of this total as entertainment for Income tax and GST purposes. (make sure you get a receipt) The reason for 50% is that there is a private element to it.

If you want to give the staff cash as a bonus to say THANKS, this MUST be taxed and go through the PAYE/WAGES.

You are welcome to give a GIFT and/or Voucher if you like BUT to avoid having to pay FBT (Fringe Benefit Tax) this can not go over $300 per staff member per quarter.

If you have any situations that you want to discuss please feel free to get in touch 😊 or IRD have a great guide here