News
Congratulations Amy
23.12.14
Congratulations to our colleague Amy Seymour on graduating her Bachelor of Commerce degree from NMIT. Amy formally
graduated on Friday 19th December after 3 years of study. Well done to Amy!
Seasons Greetings!
16.12.14
The BDC Financial Services team would like to thank you for your continued support during the year. Each year we strive to provide you with the best possible service, the help and
support we receive from you is much appreciated.
Our office will be closed from 4.00pm Tuesday 23rd December and re-opening at 8.30am, Monday 12th January 2015.
If you have any urgent matter, please email phil@bdcfinancial.co.nz. This email will be regularly checked during the close down period.
We wish you a very Merry Christmas and a Happy New Year; we look forward to working with you this coming year.
BDC Financial Services Supports Gigatown Nelson!
04.11.14
BDC Financial Services Supports Gigatown Nelson!
Robin Whalley and BDC Financial Services Limited is supporting Gigatown Nelson, a real world competition developed by Chorus to help educate and inspire New Zealanders about the possibilities of ultra-fast broadband over fibre.
Chorus is looking for a town to lead the charge in New Zealand’s transformation to becoming a gig-savy nation. Winning the “Gigatown” title gives the winning town access to a 1 Gigabit per second internet connection at the price of entry level broadband. What does this mean for Nelson? Faster connections for local businesses, schools and the community as a whole.
Ultimately, the winning town is judged on a series of five different challenges and the town with the most points at the end of the competition wins.
Together the Nelson community has created an outstanding campaign and is currently placing second on the leader board. If you would like to show your support too, please follow the link below to register:
This competition closes on November 24th 2014.
Kind regards
The BDC Financial Team
BDC Financial Services welcomes back Amy from China.
19.05.14
BDC Financial Services would like to welcome back Amy from her exciting trip to China. We would love to share her experience with you and following is a short blog from her trip.
On April 10th I travelled to Hangzhou China for one month to assist teaching an Applied Management paper at the Zhejiang University of Water Resource and Electric Power in Hangzhou city. Hangzhou is home to some of the most beautiful gardens, 17 Universities and 2.4 million people.
As we arrived in the airport and travelled to the apartment, I was first amazed by the 
architecture and secondly by the traffic. Not only are we driving on the wrong side of the road but there seems to be no use of familiar road rules. My first experience at the supermarket also proved very different as I swiftly walked past the turtles, chicken feet and duck heads.
The first day of teaching came round after an adventurous weekend. The learning style was similar but also different in many ways. After class the attentive students help and teach the quieter students, a system which seems to work for them. The students spoke English well and all worked very hard.
The following month brought about many new experiences and friendships. The University very kindly took us on a trip to their beautiful national park and I visited many historical landmarks and shopping centers. The month flew by and before I knew it, it was time to leave.
I stared out the window of the taxi on the way to the airport, looking down on the greyed out city, I found myself pondering over how I have changed in this short time. Patience, confidence, hospitality and open minded are the words that pass through my mind.
I learned to become more accepting particularly with new foods, but also with a new style of learning and teaching. I was endlessly in admiration of the kindness and hospitality we received not only from friends, but strangers and this is something that I will take with me and I can grow from.
Patience, this is something I find particularly interesting. 2.4 million People in one city, 18,000 people in the University I worked in alone, yet nobody was in a rush. I expected madness, pushing on the bus and bumping into people on the streets. Instead I found a peaceful city with a steady pace and not one person objecting to a 2-3 hour wait just to get into the subway station (on the public holiday).
Finally confidence, well that goes without saying. Crossing the road, catching a bus, speaking to strangers, making new friends, speaking in class and navigating by myself were all challenges and well worth taking. From these I built courage and confidence.
China is such a beautiful and developing country, I look forward to returning in the future to see how far they can grow.
Changes to the Inland Revenue payment service at Westpac
19.05.14
Changes to the Inland Revenue payment service at Westpac
From October 1st 2014 customers will no longer be able to make cheque payments or drop off returns or forms at a Westpac branch. They will be able to continue making cash and eftpos payments at Westpac.
Customers can post cheque payments, returns and forms directly to Inland Revenue so we’re removing these services at Westpac. Customers can continue to make payments using online banking, credit and debit cards and international money transfers.
Expats face threat to personal allowance
07.04.14
Expats face threat to personal allowance
Many of the five million Britons living and working overseas may have missed the announcement in the recent Budget that personal allowances for non-residents are set to be reviewed.
Every UK tax payer has a personal allowance, which is the amount of income that can be earned before tax must be paid. For the 2014/5 tax year the level is set at £10,000 for a single person. Rates differ according to marital status and age. Non-residents are currently eligible for this allowance.
However, Chancellor George Osborne said: “To ensure the UK personal allowance remains well targeted, the government intends to consult on whether and how the allowance could be restricted to UK residents and lose living overseas who have strong economic connections in the UK, as is the case in many other countries including most of EU”
Any expat who derives an income from UK property or a pension, but is not a resident in the UK for tax purposes, could be affected.
Tax experts believe the personal allowance will still be made available to Britons living in the EU, but other countries could face changes.
These include destinations such as the United States and Australia which are popular with British expats.
Singapore-based Martin Rimmer, tax manager for the Fry Group said “This could detrimentally affect those retirees living abroad who are currently not being taxed on their state pension as well as the raft of other who receive income from UK sources. But it is too early to say if the allowance will be withdrawn completely”
In April 2010, the government withdrew personal allowances for non-resident individuals who received them because they were citizens of Commonwealth countries.
Another assault on expats, originally announced in the Autumn Budget statement last year, was the introduction of capital gains tax when a non-resident sells UK property.
This will be introduced in April 2015. There were also some tweaks to the pension landscape in the last month’s Budget which are designed to make it easier to withdraw money tied up in a pension pot. One of the more useful ones for an expat will allow those with pension pots of less than £30,000 to take this out as cash.
Daphne Foulkes, a financial adviser at the Spectrum IFA Group said: If clients have just one small pension pot, plus other sufficient sources of income and wealth, then the new rules will provide greater flexibility and could bridge the gap between early retirement and state pension age”
By: Justin Harper, The Daily Telegraph UK. April 2-8 2014
We Live Abroad but are we Domiciled There?
03.03.14
Am I Domiciled in New Zealand?
Q. My question is about the long arm of inheritance tax. My wife and I emigrated to New Zealand in 2007 and became New Zealand citizens in 2012.
We have no landed property in the UK, just a modest ISA each. Our main income arises in the UK, being an occupational and a state pension each.
We own our home out here and a rental property which yields a small income in NZ dollars. Both the properties are held as tenants in common to take advantage of the inheritance tax (IHT) threshold on the first death.
We now need to update our wills, and it is here that we enter the murky waters of domicile. At this time no steps have been taken to acquire “domicile of choice”.
The HM Revenue & Customs (HMRC) inheritance tax customer guide states: “For IHT purposes there is a concept of ‘deemed domicile’. This means that even if you are not domiciled in the UK, under general law we will treat you as UK domiciled at the time of transfer if you were domiciled in the UK within three years immediately before the transfer, or you were resident in the UK in at least 17 of the 20 income years of assessment ending in the year in which you make a transfer.”
Currently, our mirror wills create a nil rate band discretionary trust, rather than leaving one’s share of the property directly to our children who in turn may acquire claims upon their assets, thus leaving the survivor vulnerable in old age.
My reading of the above is that our revised wills should retain the nil rate band discretionary trust arrangement while we sit out another 10 years, as applying for a change of domicile will be ineffectual. Am I correct?
A. “I think the customer guide issued by HMRC is somewhat confusing. The law in this area is entirely clear. A new domicile of choice will displace your UK domicile if you settle outside the UK and intend to remain in that particular place indefinitely. HMRC will generally not consider that you have acquired a new domicile of choice within the first three years of leaving. The law does not support that view, but it remains HMRC’s policy.
“HMRC will not give rulings on domicile, or anything else for that matter. Whether or not you have acquired a new domicile is a matter of fact. If it is your intention to remain in New Zealand indefinitely then you will have acquired a domicile in New Zealand and lost your UK domicile.
“If you are arranging your affairs it would be helpful to have as much certainty as possible on your domicile position. It seems to me that you have been in New Zealand long enough and taken steps which would ordinarily only be taken if you intended to remain permanently, so you are probably domiciled in New Zealand.
“You are certainly domiciled in New Zealand if it is your intent to remain there indefinitely, but before doing anything which might cause tax problems back in the UK, it would help to have greater certainty on the matter by obtaining opinion from a UK barrister.
“With a positive opinion, together with a statement of your intent, it would generally be considered safe to assume that you are no longer UK domiciled, and you could proceed to plan on that basis.”
Derived from: The Telegraph, Howard Bilton, 14.02.2014
Cycling for Those in Need
18.02.14
The Shortbread Trust is a registered charity with the New Zealand Charity Commissions that works to provide clean drinking water, seed and tools for farming and emergency shelter to people missing the basic essentials of life in Third World countries. As a non-profit organisation, we have NO administration costs so 100% of all donations go to the charity projects to relieve poverty and hardship.
Be a part of the FUN turning something small, into something BIG!! By -When I think back to my time in Nepal or look at these photos, I remember that woman breaking 3 bags of stones for a dollar a day. This is what spurred me to help by selling shortbread biscuits for 50 cents each.As the support for the project grew, together we developed the idea of the $1 magic.
Be a part of the FUN turning something small, into something BIG!! By –
- Ø Follow me on The Shortbread Trust Facebook or Blog
- Ø Donate directly to The Shortbread Trust Bank acc 03 1354 0301921 00
- Ø Join the “$1 Magic” – By donating $1 monthly by setting up an automatic payment to our Bank Acc
- Ø The Shortbread Trust is on http://fundraise.givealittle.co.nz/ . This gives you an instant receipt for a TAX Refund
- Ø Sponsor the 2776 kilometre cycle ride around theSouth Island.
- Ø Sponsor a full project and you too, can have your logos on the Shelterbox which I am towing.
- Ø Do you need a speaker at a function? Give me a call.
Thank you for your Support and Kindness – Jimmy
Website – www.theshortbreadtrust.com
Charitable Endeavours
13.02.14
Albert Einstein once remarked that “only a life lived for others is a life worthwhile”
And if there is once person who embodies Einstein’s words completely, it is Jimmy Griffith.
Some may know Jimmy as the owner of Shortbread Cottage – a quaint and inviting Backpackers’ Hostel in Nelson. Notable one of our region’s historic buildings, this cosy establishment oozes character and charm, offering temporary accommodation for inquisitive backpackers who come to our sunny town from distant shores.
Jimmy is a warm polite, hospitable and unassuming man. He is indeed, the perfect Backpackers host. But there’s a passionate conviction burning deep beneath his humble eyes, which has be catalysed by something much bigger than his humble travellers’ rest. Something which is inspiring change, positivity and hope for people starved of the basic human rights in nations around the globe.
It all began with Jimmy and his delicious shortbread. After 19 years in the fishing industry, he took over Shortbread Cottage, to fulfil his love of meeting people from around the globe – whilst having his feet on Terra Firma once again.
He began selling shortbread for a minimal charge on the front counter at the hostel and decided to donate the funds to somewhere worthwhile. So he got together with some mates and founded The Shortbread Trust in February 2013, with the aim of providing basic essentials of life for those in need – such as fresh water, food and shelter. The team started by inviting local cafes and businesses to sell Jimmy’s mouth-watering shortbread on behalf of the Trust, whilst also implementing other fundraising ideas at the same time.
Although the charity is only in its eight month, it has already steered some successful assignments to date, including a fresh water project in Sunrai, Nepal.
“Forty-four thousand children die a year from bad water. We use money from the trust to build wells, but not only do we give them fresh water, we also teach them about hygiene, sanitation and the importance of drinking good, clean water” says Jimmy.
Another impressive project driven by The Shortbread Trust is the distribution of ShelterBoxes – a portable, pop-up ‘home’ providing warmth and shelter for people around the world who find themselves suddenly without a home. “Inside a ShelterBox you will find a tent, blankets, tools and even a children’s activities pack. The tents have solar lights and are designed for ten people. ShelterBoxes are in warehouses all around the world – it doesn’t matter where the disaster occurs, the boxes find their way to people who need them the most.”
Their first ShelterBox went to Korea after a typhoon, however raising the $1500 required for each one has proven challenging, so Jimmy and The Shortbread Trust team are always looking for innovative ways to increase revenue. If you have any ideas, get in touch.
Their next fundraising event involves touring the South Island on a push bike. “Next year (2014) in March we are going to ride around the South Island towing a ShelterBox. My aim is to raise enough money to pay for one water well, one farming project and one ShelterBox, which is a total of $4,100.”
If you or someone you know is keen to get behind Jimmy and support this worthy cause, it is heartening to know the Trust has no administration costs – so one hundred percent of every donation goes directly to helping those who so desperately need it.
Jimmy would love to hear from people who can offer professional services, even for a minimal amount of time, and provide their skills and expertise as a way of contributing.
For more information about The Shortbread Trust, ShelterBoxes or the South Island fundraising bike-ride tour go to www.facebook.com/theshortbreadtrust or contact Jimmy on 027-476-4496
Donate now by clicking here
By Amy Cunningham
Derived from; Onesmile Magazine, issue 14
Tax Residency
04.02.14
Tax Residency
Do you think you are a non-resident for New Zealand tax purposes? Click here and see if this recent tax case applies to you. If you are concerned about your status, talk to us.
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