Make a payment
Business income tax Tāke moni whiwhi mō ngā pakihi

Business income tax

In running a business you need to account for income tax on your profits and the expenses/deductions you may claim against your income. During the tax year you must generally pay provisional tax, which is a series of instalments of income tax for this tax year. You pay income tax on your net profit for the year. To work out your net profit, deduct your business expenses from your income for the year.
The Tool for business

The Tool for business helps you get all your small business tax issues sorted quickly and simply.

Filing business income tax returns

IR3 and IR3NR customers who earn income other than salary and wages will need to file an income tax return. If you're in business, you'll need to complete and send us an income tax return, that is an IR4, IR6, IR7, IR8, IR9 or IR44. Find out more about the types of business income tax returns, the due dates for completing them and the financial reporting you may need to do.

Claiming business expenses

Most businesses incur expenses when generating income and most of these can be deducted from its income to arrive at its net profit or taxable income. It is on this amount that you pay income tax. Certain business expenses that are paid for out of business income cannot be claimed as allowable business expenses.

Watch our short video on claiming business expenses


If you're a business you'll need to claim depreciation as a deduction in your income tax return.


Imputation is a tax mechanism available to registered companies and certain other types of business.

Paying tax

If you are running a business, you will need to fill out a tax return each year and send it to us by the due date. When completing your tax return you will need to include income from all sources, and work out the tax on your total taxable income. Learn about which income tax rate applies to your type of business, when income tax returns should be sent in and what income tax returns to use.

What to do if your business is making losses

If the total deductible expenses for your business are greater than its income then it will have a loss for tax purposes. The business will not have to pay tax and the loss can generally be used to reduce income in future income years. The rules for using losses depend on whether the business is run through a company, trust or as a sole trader.

Income equalisation scheme

The income equalisation scheme allows farmers, fishers and foresters who are eligible taxpayers to even out fluctuations in income by spreading their gross income from year to year.

Tax relief - extreme weather and natural disasters

Find out about tax relief and income assistance if you are affected by extreme weather or a natural disaster, such as earthquakes, drought or flooding.

Paying yourself from your business

If you're in business, you will need to pay yourself to meet your personal living costs. How you do this depends on the business structure you are operating under.

Overseas currency - conversion to NZ dollars

We publish different exchange rates for different purposes. This page will explain what they are and which one to use.

Business income tax basics

Learn the basics of business income tax during the first year including the early payment discount available for the first year of paying provisional tax.

Glossary of business income tax terms

Glossary of the terms used in business income tax publications including: Balance date; Capital expenditure; Depreciation; and more.