Prime Minister John Key is expected to make two significant Budget 2016 announcements today with a focus on small business likely to be the main item of interest.
Provision tax and the interest rates charged on underpaid tax are likely to be mentioned by Mr Key.
Dealing with tax issues for small business will go a significant way to soothing some of the gripes business owners have with Inland Revenue.
The use of money causes major angst for small business owners, particularly estimating how much income they expect to earn in a year.
If they underestimate their tax, they pay interest from the start of the year, all the way through.
The interest rates employed by Inland Revenue are seen as far too high at 9.2% for anyone underpaying their tax.
Small business owners can borrow money from a bank at about half that rate.
The magic view a small business will make 5% more than it did last year is not the way business operates post the global financial crisis.
Mr Key may also address the ‘‘whole of government'' approach where information from taxpayers is more widely shared.
Previously, information given to Inland Revenue was not shared among government departments.
That caused frustration for taxpayers who had to supply the same information many times to different departments.
