Published on the 16/02/2011 | Written by Newsdesk

Filing tax returns electronically in exchange for tax credits would be a popular option aimed at easing the compliance burden for New Zealand businesses according to a new survey…

The latest MYOB Business Monitor shows any political party committed to making tax compliance easier would get the vote of 74 percent of the 1000 business owners who took part.

Over half would also support a Government offering funding for training in online business development.

The survey aimed to gather opinion on policies in the lead up to the general election in November.

MYOB general manager Julian Smith says businesses are feeling the costs of compliance.

“The policies the New Zealand business community would support are those that would make it easier to do business in this country, invest in innovation and provide greater employment opportunities,” Smith says.

“The initiatives are not based on party lines, but represent the views of business owners of all kinds.”

Over 50 percent would also vote for a single flat rate for business and personal tax.

Smith says results showed 65 percent would vote against a party that planned to introduce a capital tax.

“All parties would do well to steer clear of a capital gains tax,” he says.

“This would be a very unpopular policy.”

Keeping four weeks paid leave for employees, compulsory Kiwi saver and a common economic zone with Australia were also popular.

“Coming out of a long, hard downturn, businesses want more help from the next Government, not just in terms of tax relief, but also in making running a business less complex and costly in New Zealand.”

Smith says business owners are looking for a mix of stimulus, cost reduction and investment in growth and innovation.

“All parties should look closely at how this would fit into their election campaign for 2011.”

Findings include:
> 55 percent in support of cash awards for business innovation

> 39 percent would vote for the introduction of compulsory KiwiSaver providing a minimum of 50 percent of the fund is invested in Kiwi businesses

> 58 percent support waiving late-payment penalty interest for start-up businesses.

> 42 percent support a cross-Tasman economical zone.

> 34 percent in favour of and 32 opposed to the extension of the current trial period legislation from three to six months

> 61 percent support offering tax credits for businesses that electronically file returns

The MYOB Business Monitor is a nationwide survey of over 1,000 New Zealand business owners across a range of small and medium businesses and industries.