Description

In this webinar, we will work through the relevant GST rules that apply to property and in particular short-term rental accommodation, including the Inland Revenue Department’s application of the rules. These rules are constantly changing, so it is important to keep up to date.

Whether your client is renting out a room in their home, renting out a holiday home or letting a property through a platform for short-stay accommodation, understanding how the GST rules can be applied becomes an important consideration. From 1 April 2024 this included the consideration of the marketplace supply rules that had been applied and you now need to also consider the variations to those rules.

If you are a property owner or are associated to a property owner, care needs to be taken to ensure that the GST rules are being applied correctly by both sides.
The session will provide an overview of the relevant GST rules and how they might apply in relation to short-term rental properties with practical examples being worked through.

In particular the webinar will cover:

• What is the “supply” for short term rental accommodation?
• How will the marketplace supply rules impact on what is a taxable supply of accommodation?
• When is a short-term rental activity a taxable activity?
• When must or can a property owner register for GST?
• When is a property zero-rated and how do the rules apply?
• What is the impact of supplies being exempt, non-taxable and taxable in the context of short-term rentals?
• What apportionment rules apply, including accounting for a mix of private and incoming earning use, and what is a temporary and permanent change?
• What is the impact of the election to treat a sale as not being part of a taxable activity?
• What are the implications of associated persons and associated use?

LEARNING OUTCOMES

Upon satisfactory completion of this webinar, you will be able to:

• Understand when you or your client must register for GST if they have an interest in property;
• Determine whether any sale or purchase will be zero-rated and what happens if things are not what they seem on the face of it, in terms of the agreement;
• Understand when and how the apportionment rules apply;
• Understand the impact of associated party transactions relating to a short-term rental property.

SUITED TO

This webinar will be suited to:

• Accountants at all levels
• Lawyers providing advice on sale and purchase of short-term rental properties and preparing leases

PRESENTER

Daniel Gibbons, Partner, Findex/Crowe (presenting on behalf of TEO)
Daniel is a Partner for Findex in Queenstown. He has been with Findex for 17 years, where he advises on a wide range of tax matters, including property transactions and property ownership structures, international taxation issues, the tax treatment of investments and providing structuring advice to clients, including assistance for family group restructures. Daniel is recognised as a leader in the taxation treatment of short stay accommodation, providing training to other practitioners.