A guide for the end of the financial year in New Zealand

The end of the financial year in New Zealand is on the 31st of March. It’s an important time for many of us, with many responsibilities to keep in mind as 12 months of financial activity come to a close. It is also a good time to reflect on our financial situation, review our expenses and revenue, and plan for the year ahead.​

There are many deadlines for various tax-related activities, such as the filing and payment of tax returns. As these deadlines draw near, it is important to stay on top of your finances to ensure a smooth transition into the new financial year.​

The financial year in New Zealand is different from the calendar year, running from April 1st to March 31st the following year. If you are a small business owner, this provides an opportunity to review your financial performance, plan for the future, and ensure compliance with your tax obligations.​

Tax compliance is a crucial aspect of EOFY, as you must file your annual income tax returns and pay any outstanding income taxes before the deadline. Financial reports are necessary for maintaining a clear and accurate understanding of your past year (both of which are made easier by efficient business management). It is also a good time to review and update your insurance coverage, so your business is properly protected from any unforeseen events.​

It’s important to note the end of the financial year is not the only deadline for businesses. For business owners who file income tax returns themselves, the deadline is the 7th of July. However, if you are working with an accountant (such as Beany), you may be eligible for an extension of time (EOT). The deadline for filing with an EOT is the 31st of March of the following year.​

It's important to check with the IRD to confirm the eligibility for the EOT, as not all businesses will qualify. There are many things to be aware of throughout the financial year - our calendar provides a comprehensive list of key dates, so you can keep on top of your compliance and reporting responsibilities. The IRD has more information on filing your tax return, which can be found here.​

There’s a lot to keep in mind during the end of the financial year. To make things easier, we have created a quick checklist to make sure your EOFY process goes smoothly. Using this as a reference will also help you prepare for the next financial year.​

As the end of the financial year approaches, it's important to review how the past 12 months have been for your business. This is an opportunity to review how your business performed and assess how you’re tracking with your goals. This analysis will help for the coming year, as you set budgets and identify areas for growth.​

A good way to assess your financial performance is to look for any trends in your revenue and expenses. Maintaining proper budgeting and cash flow is important when setting financial goals for the coming year, as it allows you to identify areas where you can cut costs, prioritise expenses, and make informed decisions about where to allocate resources in order to achieve your goals.​

You should also assess the resources you need for the coming year, such as staff and equipment, and incorporate this into your forecast. Seeking professional help from an accountant can be beneficial here - we offer a wide range of services to take the weight of accounting off your shoulders.​

We’re an online accounting firm that is always right here for you, your accounting pain relief. The most advanced technology lets us work way more closely with you than a normal accountant world. ​​

We have a dedicated team of certified accountants and a support team to take care of your business no matter where you are, so you can focus on growing your business. We take out the ‘fluff’, break down the barriers and get things done. Looking out for you is what we are all about. Get started for free today.​