Provisional Tax - avoiding the pitfalls

If you are liable for provisional tax and you don’t pay, or you underpay or pay late, you may be liable for both penalties and use of money interest (UOMI). There are ways to minimise your exposure to these and to manage provisional tax to suit your business:

• The method you use to pay provisional tax can limit your exposure to penalties and interest
• It can be in your interest to make voluntary payments before your tax is due
• Tax relief measures to assist businesses may also help ease your tax position.

Measures like these can help you maximise cashflow by managing your tax plan. It’s important to keep your tax plan current. If circumstances change for your business, we need to adjust your plan. Keep us updated about the situation for your business.

To navigate the complexities of provisional tax and avoid potential pitfalls, we recommend downloading the comprehensive guide titled "The Guide to Provisional Tax - Avoiding the Pitfalls." This guide serves as a valuable resource for individuals and businesses who want to better understand and manage their provisional tax obligations.

The Guide to Provisional Tax - Avoiding the Pitfalls