Geekzone: technology news, blogs, forums
Guest
Welcome Guest.
You haven't logged in yet. If you don't have an account you can register now.




1839 posts

Uber Geek

Lifetime subscriber

#269827 9-Apr-2020 18:03
Send private message

So simply a business get's x amount of dollars for 25 people for wage subsidy. As seen per register.

 

Company is fully operational and nobody has gone off because of covid. 

 

Does this mean they have to pay this money back at the end or would this be fraud.

 

 





Ding Ding Ding Ding Ding : Ice cream man , Ice cream man


Create new topic
22715 posts

Uber Geek

Trusted
Lifetime subscriber

  #2458595 9-Apr-2020 18:08
Send private message

There will be auditing. They would be asked to return it.

 

Grant Robertson said he believes it's extremely likely almost every business in NZ would have a 30% decline in at least 1 month of the period it's for.

 

If you are worried, put it in an interest bearing account in case you need to return it.

 

It would be exceptionally unlikely fraud charges would be laid if there was at least some doubt.

 

 


386 posts

Ultimate Geek


 
 
 
 


3934 posts

Uber Geek

Trusted
Lifetime subscriber

  #2458598 9-Apr-2020 18:15
Send private message

The wage subsidy is available to companies who believe their turnover will reduce by a minimum of 30% as a result of COVID19.

Just because everyone is at work doesn't mean that a company isn't severely affected



1839 posts

Uber Geek

Lifetime subscriber

  #2458599 9-Apr-2020 18:15
Send private message

networkn:

 

There will be auditing. They would be asked to return it.

 

Grant Robertson said he believes it's extremely likely almost every business in NZ would have a 30% decline in at least 1 month of the period it's for.

 

If you are worried, put it in an interest bearing account in case you need to return it.

 

It would be exceptionally unlikely fraud charges would be laid if there was at least some doubt.

 

 

 

 

Thanks not my company but a good friend works for them and they are dodgy employers at the best of times, I just don't want to see them ripping the system off.





Ding Ding Ding Ding Ding : Ice cream man , Ice cream man


2431 posts

Uber Geek

Trusted

  #2458603 9-Apr-2020 18:19
Send private message

They'll need to have a tipoff line/form as there's no way they can audit a decent proportion of that many businesses.

Need to create enough fear so that those who applied but didn't experience such a revenue drop will proactively pay it back. The register is part of that

22715 posts

Uber Geek

Trusted
Lifetime subscriber

  #2458616 9-Apr-2020 19:21
Send private message

Handle9: The wage subsidy is available to companies who believe their turnover will reduce by a minimum of 30% as a result of COVID19.

Just because everyone is at work doesn't mean that a company isn't severely affected

 

Or won't be in the intervening time.

 

My gripe with the system is the fact it's all being paid at once.

 

In my opinion it should have been paid monthly.


3510 posts

Uber Geek

Trusted
Lifetime subscriber

  #2458759 10-Apr-2020 09:04
Send private message

networkn:

 

Handle9: The wage subsidy is available to companies who believe their turnover will reduce by a minimum of 30% as a result of COVID19.

Just because everyone is at work doesn't mean that a company isn't severely affected

 

Or won't be in the intervening time.

 

My gripe with the system is the fact it's all being paid at once.

 

In my opinion it should have been paid monthly.

 

 

Would have been a lot more work, the real kicker (which happen to me) is because i applied and got the wage sub before the 1st of april the whole amount has to be taxed as income from last finance year and not split with 1 week in 2020 and remain in 2021 finance years.  This means it's taxed higher.  I will have a 30% decrease in revenue from next weeks as my contract ends and there isn't much work at the moment :(


 
 
 
 


862 posts

Ultimate Geek

Subscriber

  #2458764 10-Apr-2020 09:25
Send private message

tripp:

 

Would have been a lot more work, the real kicker (which happen to me) is because i applied and got the wage sub before the 1st of april the whole amount has to be taxed as income from last finance year and not split with 1 week in 2020 and remain in 2021 finance years.  This means it's taxed higher.  I will have a 30% decrease in revenue from next weeks as my contract ends and there isn't much work at the moment :(

 

 

Apparently there are situations where it shouldn't be fully included in the tax period it was received as it is a subsidy (weird, I know!), but instead calculated as if it was paid out weekly to you? There's apparently something on the IRD site with this on it. I haven't found it yet, but I haven't looked either


483 posts

Ultimate Geek

Lifetime subscriber

  #2458767 10-Apr-2020 09:41
Send private message

nickb800: They'll need to have a tipoff line/form as there's no way they can audit a decent proportion of that many businesses.

Need to create enough fear so that those who applied but didn't experience such a revenue drop will proactively pay it back. The register is part of that

 

IRD can audit against PAYE records for the employees named in the wage-subsidy claim and I am sure they will have ways of auditing turnover.  Cash payments (both to the employer by customers and by the employer to employees) is another issue - but that is nothing new (ie not specifically a wage-subsidy problem). Initial 'discovery' of fraud can be automated.





--

OldGeek.


1049 posts

Uber Geek


  #2458775 10-Apr-2020 09:57
Send private message

tripp: Would have been a lot more work, the real kicker (which happen to me) is because i applied and got the wage sub before the 1st of april the whole amount has to be taxed as income from last finance year and not split with 1 week in 2020 and remain in 2021 finance years.  This means it's taxed higher.  I will have a 30% decrease in revenue from next weeks as my contract ends and there isn't much work at the moment :(

 

Can't you just adjust it in your accounting Cash Book module and reconcile it how you have described as it would happen in the monthly/EOFY cycles - if you haven't already electronically rolled over your systems month.

 

 


Create new topic





Twitter and LinkedIn »



Follow us to receive Twitter updates when new discussions are posted in our forums:



Follow us to receive Twitter updates when news items and blogs are posted in our frontpage:



Follow us to receive Twitter updates when tech item prices are listed in our price comparison site:





News »

Soul Machines joins forces with the World Health Organization
Posted 13-Jul-2020 18:00


Chorus completes the build and commissioning of two new core Ethernet switches
Posted 8-Jul-2020 09:48


National Institute for Health Innovation develops treatment app for gambling
Posted 6-Jul-2020 16:25


Nokia 2.3 to be available in New Zealand
Posted 6-Jul-2020 12:30


Menulog change colours as parent company merges with Dutch food delivery service
Posted 2-Jul-2020 07:53


Techweek2020 goes digital to make it easier for Kiwis to connect and learn
Posted 2-Jul-2020 07:48


Catalyst Cloud launches new Solutions Hub to support their kiwi Partners and Customers
Posted 2-Jul-2020 07:44


Microsoft to help New Zealand job seekers acquire new digital skills needed for the COVID-19 economy
Posted 2-Jul-2020 07:41


Hewlett Packard Enterprise introduces new HPE GreenLake cloud services
Posted 24-Jun-2020 08:07


New cloud data protection services from Hewlett Packard Enterprise
Posted 24-Jun-2020 07:58


Hewlett Packard Enterprise unveils HPE Ezmeral, new software portfolio and brand
Posted 24-Jun-2020 07:10


Apple reveals new developer technologies to foster the next generation of apps
Posted 23-Jun-2020 15:30


Poly introduces solutions for Microsoft Teams Rooms
Posted 23-Jun-2020 15:14


Lenovo launches new ThinkPad P Series mobile workstations
Posted 23-Jun-2020 09:17


Lenovo brings Linux certification to ThinkPad and ThinkStation Workstation portfolio
Posted 23-Jun-2020 08:56



Geekzone Live »

Try automatic live updates from Geekzone directly in your browser, without refreshing the page, with Geekzone Live now.


Support Geekzone »

Our community of supporters help make Geekzone possible. Click the button below to join them.

Support Geezone on PressPatron



Are you subscribed to our RSS feed? You can download the latest headlines and summaries from our stories directly to your computer or smartphone by using a feed reader.

Alternatively, you can receive a daily email with Geekzone updates.