Here are some common GST pressure points we see.

This content was produced by Target Accounting and is being published by the New Zealand Herald as advertorial.

For many business owners, GST is treated as a regular chore – file the return, make the payment, move on.

GST touches almost every part of a business – sales, expenses, and cashflow. Our role is to help ensure the GST reporting matches what’s actually happening, so there are no surprises when it’s time to file.

Here are some common GST pressure points we see.

GST and cashflow

One of the biggest challenges is treating GST collected as available cash. The best way to think about GST on sales is it doesn’t belong to the business, it’s the first thing IRD like to remind us when there are issues in paying GST. Setting it aside early can reduce cashflow stress and avoid last-minute scrambling.

Systems still need oversight

Accounting software is a powerful tool, but it’s only as accurate as the information entered and the reports it produces. Regular reviews help ensure GST is coded correctly, private use and non-GST costs are properly accounted for.

Private and mixed-use expenses

Vehicles, home offices, phones, and internet costs often include a personal component. If this isn’t adjusted, GST can easily be overclaimed without realising.

Filing frequency matters

Two-monthly filing suits some businesses, while others are better off filing six-monthly. The right choice depends on cashflow and how predictable income is.

Changes trigger GST implications

New income streams, asset sales, or winding down parts of a business can all affect GST. These changes are often missed until well after the fact.

The takeaway

GST returns don’t have to be complicated, but they do deserve attention. When reviewed regularly and tied back to what’s happening in the business, GST becomes easier to manage – and far less stressful.

At Target Accounting we provide end-to-end accounting, tax and business advisory services to help businesses stay compliant, make better decisions and grow with confidence. From bookkeeping, payroll and financial statements through to tax planning, cashflow management and strategic advice, we work alongside you to simplify the numbers and support your next move.

Practical accounting and advisory support to keep your business compliant, informed and growing.