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| Profits on these sales are subject to income tax and you are
required to register for GST
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Income Tax
If the sale of personal property is subject to income tax then you will need to
declare the sale proceeds in your income tax return but can claim a deduction
for the cost of the personal property and other related expenses.
Some expenses which you may be able to deduct in full or part include:
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Accounting fees
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Advertising expenses
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Communication expenses
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Delivery costs
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Depreciation on business assets
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Finance charges
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Home office expenses
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Insurance premiums
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Legal fees
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Motor vehicle expenses
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Rent on business premises
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Repairs and maintenance on business assets
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Trade Me fees - don't forget to print off your invoices
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Travel expenses
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Wages and salaries
You should seek professional advice regarding your entitlement to deduct
expenses.
GST
You must complete a GST registration form and submit this to the Inland Revenue
Department.
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You must charge GST on the sales of personal property.
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You must meet all other GST obligations.
We recommend you speak with the Inland Revenue or seek professional assistance on this.
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