GST, PAYE, ACC, and provisional tax are not the same thing. They sit in different parts of the business: customer invoicing, employee payroll, injury cover, and income-tax cashflow. This page is a plain-English orientation guide, not tax advice. Check the official IRD and ACC pages, and talk to an accountant before relying on any tax position.
The useful habit is to treat these as recurring admin systems. Put the due dates in one calendar, keep the source records tidy, and separate money collected for tax from money available for spending. That is less exciting than a new tool, but it prevents most SME surprises.
Quick map
What each obligation is for
These labels often get bundled together, but they answer different questions.
- GST: tax on many goods and services. If you are GST registered, you collect GST on sales and claim GST on eligible business expenses.
- PAYE: tax and deductions handled through payroll when you employ staff.
- ACC levies: injury-cover levies for businesses, self-employed people, and employers.
- Provisional tax: income-tax instalments paid during the year instead of one large payment after year end.
Control points
Start with access, records, and due-date ownership
The most useful first pass is not a tax calculation. It is checking who can access IRD, ACC, payroll, accounting software, bank feeds, and the business calendar. If one person or one lost device controls everything, admin risk becomes business risk.
Named access
Confirm which named accounts can access myIR, MyACC for Business, accounting software, payroll, and the business bank. Avoid shared logins where possible.
Calendar ownership
Put GST, PAYE, ACC, provisional tax, payroll, and accountant review dates into one calendar with reminders and a named owner.
Source records
Keep invoices, receipts, bank statements, payroll records, ACC notices, IRD messages, and accountant correspondence in a repeatable filing structure.
Change notes
Record any settings changed in accounting software, payroll, GST registration, employee setup, or bank-feed connections so the next review has context.
GST
GST is about sales, expenses, and registration status
IRD says businesses generally need to register for GST if they carry on a taxable activity and their turnover is more than $60,000 in a 12-month period, or is expected to pass that level. Registration can also be voluntary in some cases. The practical owner question is: are invoices, receipts, and expense records tidy enough to support each GST return?
Before changing GST settings in accounting software, check the official IRD registering for GST guidance. A wrong GST setting can quietly affect invoices, quotes, and cashflow.
PAYE
PAYE is a payroll rhythm, not a once-a-year job
PAYE matters when you employ staff. The key admin pattern is repeatability: employee details, pay runs, deductions, payday filing, and payment dates need to line up. If payroll is handled by a person plus a spreadsheet, document the steps so holidays, sickness, or staff turnover do not break the routine.
Start with the official IRD employing staff guidance and keep payroll access tightly controlled. Payroll records include personal and financial information, so they should not be pasted into unmanaged tools or shared through casual email threads.
IRD's payday filing guidance separates filing employment information from paying deductions. If you are new to payroll, confirm the filing rhythm, payment rhythm, employee tax-code declarations, KiwiSaver details, and who can act if the usual payroll person is unavailable.
ACC
ACC is about cover, classification, and levy notices
ACC levies are separate from GST and PAYE. The amount can depend on the business activity, liable earnings, cover type, and other details. For self-employed people, standard CoverPlus and CoverPlus Extra are different cover options, so the right setup is worth checking rather than guessing.
Use ACC's business guidance to check your cover and levy information. If you receive an ACC invoice that looks wrong, check the activity classification and business details before assuming it is only a payment problem.
Provisional tax
Provisional tax is income-tax cashflow planning
Provisional tax is designed to spread income tax through the year. IRD explains that it generally applies when residual income tax is over the relevant threshold. The practical point is that a profitable year can create tax payments before the next annual return is finished, so cashflow planning matters.
Read the IRD provisional tax guidance before choosing a method or changing payments. The best method depends on the business, and this is an accountant conversation, not a guesswork job.
Official references
Use current IRD and ACC pages before changing settings
Tax and levy details change over time, so this page should be treated as orientation only. Use current official pages and professional advice before changing registration, payroll, provisional tax, or ACC settings.
GST registration
IRD explains GST registration and the turnover threshold for businesses carrying on a taxable activity.
PAYE and payday filing
IRD's employer pages cover registering as an employer, PAYE deductions, payday filing, and wage-record obligations.
Provisional tax
IRD explains provisional tax, including when it applies and why it is paid in instalments during the year.
ACC levies
ACC explains levy calculations, liable income, Classification Unit codes, and cover options for self-employed people and contractors.
Operating habit
A simple admin checklist for SME owners
The safest setup is boring and visible. Keep the calendar, records, and responsibilities in one place.
- Keep IRD, ACC, accounting software, payroll, and bank access under named accounts with MFA.
- Put GST, PAYE, ACC, and provisional tax dates into a shared business calendar.
- Keep source records: invoices, receipts, payroll records, bank statements, and accountant correspondence.
- Separate tax money from operating cash where practical.
- Review official IRD and ACC pages before changing settings, filing methods, or payment arrangements.
Tech handover
Keep financial-admin systems supportable
Admin systems depend on technology: MFA, password managers, browser profiles, payroll tools, bank feeds, accounting software, and email alerts. A short handover note helps an accountant, bookkeeper, or support person understand what exists without exposing private records.
Private evidence
Keep sensitive tax, payroll, and banking evidence private. Public website content should never expose IRD numbers, ACC invoices, employee details, or financial records.
Access resilience
Use MFA and recovery methods, but make sure a lost phone does not remove every path to myIR, ACC, accounting software, or payroll.
Provider map
Record accountant, bookkeeper, payroll provider, bank, accounting software, IRD, ACC, and domain/email contacts in a secure handover file.
For related practical context, review John Finnerty's background, selected project notes, the technical article hub, and the AI business information safety checklist.