Drawings - Will This Affect My Tax?

Tax Tips
Written By Kim Manunui

At this time of year there are some common questions we get asked, like 'I have drawn out some extra money over Christmas for private use'.'Will this increase my tax'?

Short answer NO.

You are taxed on the profit in your business, not on the amount that you draw out for personal use.  Regardless of whether you are taking regular drawings or large one-off amounts, this will not affect your tax position only your cash-flow

If you have your financial information up to date it is easy to make estimates of your tax liability.  It is important to monitor this as it can change from year to year and you could be paying too much tax or not saving enough.

Concerned about cashflow, drawings or tax?  Give us a call, we'd love to help.

Kim Manunui

Hi, I’m Kim and I work with a great team to help individuals, as well as small and not so small businesses get their message, product and services to the world using digital media and creating wonderful websites that don’t cost the earth.

I was born in Canada, and grew up around Vancouver and the mountains of British Columbia. My love of pristine environments led me to New Zealand and eventually to the mountains, lakes and rivers of the central North Island which is home. My family’s heritage is here, and it’s from here that Korio traverses the planet.

The digital world is never static and neither are we.

And I say ‘we’ because I work with an awesome group of talented people who I gather together as required to complete a project.  Whatever your business, not-for-profit or individual needs are we gather the best team to get the job done.

Collaboratively we are creative, share sustainable values and work hard for great outcomes because that’s the buzz of satisfaction that drives us.

If you have an audience and market to reach, we can make that happen. Creative design, words that work and smart behind the scenes stuff that cuts through the online noise. We’ll design your website and then build it. We’ll manage the content as well as all your hosting needs. We can handle your online advertising so you get noticed,
and we’ll manage your social media presence so you get the clicks, likes and engagement to grow your business. All within the budget you set, because none of this needs to cost the earth.  And the job doesn’t stop when your website goes live. We are your virtual business partner.

https://www.korio.co.nz
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