Christmas Staff Party

Categories:Latest News
Janine Gartner

Time to start preparing for the Christmas break.  The Christmas run-up can be frantic for small business.  Thinking of throwing a staff Christmas party?  This is a great way to see out the year and celebrate successes, but there are tax considerations to think about.

You can claim some costs of a party or staff gifts, but they may be subject to fringe benefit tax.  This is paid on benefits workers get as a result of their employment.

Half of your holiday party expenses may be claimed in your GST and income tax returns if the expenses relate to your business. Expenses can include:

  • food and drink
  • entertainment
  • venue hire.

To find out more download the Entertainment Expenses guide from IRD.