Expensive ACC 19 Feb 2014

ACC is a special purpose tax. It’s very late arriving as it can’t be calculated until after the business tax return has been completed. The amount might take your breath away. Avoid the instalment offer. Pay in full. The ACC service fee of 10% is not a true 10% – it’s more like 18% because of the way it’s charged. Assuming the bank is going to charge you only interest and no additional fees, borrowing from it will be a lot cheaper.


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