The ultimate cashflow flexibility tool for businesses

Struggling with cashflow and tax liabilities? Discover how TMNZ’s tax pooling solutions offer ultimate flexibility for managing provisional tax.

In tough economic times, it can be hard for businesses to stay on top of cashflow and juggle their tax liabilities. For companies and sole traders dealing with fluctuating cashflow and provisional tax headaches, there’s an easier way to manage your obligations – tax pooling.

Did you know TMNZ’s tax pool can help you manage your tax by matching your cashflow forecasts with your provisional tax payments? And you can use tax pool deposits as an alternative funding source when cashflow is tight.

How TMNZ can help

As an Inland Revenue (IR)-approved tax pooling provider, you can use TMNZ to pay income tax on your behalf at a time that suits you. They offer greater flexibility over how and when you pay provisional tax.

First, you’ll need to think about your cashflow forecast. Once you’ve got your cashflow projection, TMNZ can work with you to figure out the best time to pay your provisional tax. From there, all you need to do is tell them your tax amount owed, the date it is due, and how you would like to pay. When your tax bill arrives, they will transfer the amount required to IR on your behalf as a time-stamped payment. IR will treat your tax as if it was paid on time, eliminating the risk of being charged interest or late payment fees. Simple.

A working capital solution

TMNZ’s payments to IR mean you can keep money in your business and use it at the times of the year you’ll need it most. You can top up your payments later into TMNZ’s tax pool at any time. Tax pooling is a perfect solution for businesses worried about future cashflow and looming obligations. By partnering up with TMNZ, you’ll have total control over your tax bill, rather than working around IR’s strict deadlines.

With no more late fees and interest charges from IR to think about, you can get on with running your business. There will be no need to scrape together funds in the middle of holidays or quiet periods to meet IR’s deadlines. TMNZ can also save you money by avoiding penalties and interest charges if you’ve missed or underpaid tax. They charge much lower interest rates than the penalties imposed by IR if you’re overdue.

TMNZ is a line of credit

Another amazing TMNZ feature is that they can be a line of credit for your business. If you’ve deposited funds into TMNZ’s tax pool but find yourself short on cash, you can withdraw that money whenever you want to use it as working capital.

If you’ve paid provisional tax into TMNZ’s pool, you’ll have access to a working capital facility up to the value of your deposit. This provides even more flexibility for you and your team to get through a cash crunch and stay on top of debt management. TMNZ can offer much cheaper interest rates than bank loans, overdrafts, or unsecured loans, meaning money withdrawn from their tax pool is better for you and your business, putting you in a stronger position at the end of the year.

Ready to learn more?

Download TMNZ’s guide to Better Cashflow Management for top tips on managing cashflow throughout the financial year. If you’re ready to take control of your tax and gain access to a valuable line of credit for your business, find out more at www.tmnz.co.nz to learn more about the full range of benefits of being in TMNZ’s tax pool. Then talk to your tax adviser about TMNZ tax pooling to take away your tax management worries.