«
»

Hi tech companies to get carve out

The latest proposals from Inland Revenue go a long way to assuaging concerns about planned tax reform legislation.

Venture capitalist Jenny Morel says that the changes to the tax regime as originally proposed would have been “a complete disaster�.

Software developer John Blackham told Computerworld (May 15) that the initial proposal to introduce a capital gains tax on investment in companies based in New Zealand but which have an overseas’ investment base, typical of many IT startups, would be a “death sentence� for innovation in this country.

He and fellow entrepreneurs made proposals to ministers for ways of alleviating the burden last month, and the government announced a partial back-down as part of its budget round, saying it would give certain investors in these companies a five-year “holiday� from the new tax.

Bookmark to:
Add 'Hi tech companies to get carve out' to Del.icio.us Add 'Hi tech companies to get carve out' to digg Add 'Hi tech companies to get carve out' to FURL Add 'Hi tech companies to get carve out' to blinklist Add 'Hi tech companies to get carve out' to My-Tuts Add 'Hi tech companies to get carve out' to reddit Add 'Hi tech companies to get carve out' to Feed Me Links! Add 'Hi tech companies to get carve out' to Technorati Add 'Hi tech companies to get carve out' to Yahoo My Web Add 'Hi tech companies to get carve out' to Newsvine 

This entry was posted on Tuesday, June 13th, 2006 at 1:22 am and is filed under New International Regime. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

One Response to “Hi tech companies to get carve out”

  1. iiq374 Says:
    June 13th, 2006 at 7:45 am

    The 5 year holiday really just amounts to a stay of execution. It’s still going to be a death knell to “new” innovation / startups – it just means those with existing funding might get to keep it.

Leave a Reply