Officially? Or reality?
I ask because it doesn’t make sense that more than NZD$60,000 a year is taken as personal income here in New Zealand as that is where the personal tax break is over here. Anymore is taxed at an extortionate rate.
The rest of the money stays in the company and is taxed at a much lower corporate rate – while I’ve spent the last 12 months learning all about the tax efficient benefits of corporate cars, renting the beach house out to the company as an office (etc, etc, etc).
Oh and let’s not forget the international trips to sporting events (as a sports betting promoter).
:tounge2:
All legitimate expenses of course, but the reality is that if I wasn’t making a good monthly profit then they would not be incurred. I’d simply tighten the belt.
Is that not the same in the USA? Although maybe at a higher level?