Covid-19 Q&A


Q: Do NZTA have a Q&A page?

A: Yes you will find it here: https://www.nzta.govt.nz/about...

Q: Is there such a thing as a essential sticker that I must have in the cab?

A: No there is no such sticker

Q: Is Stock feed classed as essential?

A: Yes

Q: Is your office still open?

A: Yes, we are working. NRC Working Hours (interactive PDF).pdf

Q: We run a mechanical business, can we still operate?

A: Yes, for essential vehicles only

Q: Do I need to register with MPi?

A:  If you are involved in the primary business of food cartage, animal feed etc, click on the link to find out more https://www.surveymonkey.com/r...

Q: Do I need to carry something in the cab of the truck?

A: Yes, you will need to carry a copy of delivery points, what process you have in place for your driver, any order details preferably on Company letterhead.

Q: We run a truck wash facility, can we operate?

A: Yes, but for essential vehicles only

Q: Can I deliver fertiliser?

A: Yes, it is on the essential list

Q: We are struggling to get Service Stations to provide Coffee for our drivers?

A: We are currently working alongside the RTF on this issue, food is available in many stations although we recommend taking a flask with you on your trips.

Q. Where do I find information on wage subsidies

A. Visit the Work and Income website here: 
https://workandincome.govt.nz/?utm_source=business.govt.nz&utm_medium=newsletter&utm_campaign=special_cv_edition

Q: What testing stations are open for essential vehicles?

A: Visit these sites.

VTNZ link : https://vtnz.co.nz/articles/branches-open-for-essential-service-vehicles-26-03-20-27-03-20/

VINZ Link: https://vinz.co.nz/news/covid-19-announcement-essential-service-vehicles-service-workers/

Q: As an employer I had to let some of my employees go because of COVID-19. Can I rehire them and get the COVID-19 Wage Subsidy to help pay them?
A: You can apply for the COVID-19 Wage Subsidy if you re-employ your employees before you apply and if your employees were:
• employed by you as of 17 March 2020; and
• you had to let them go because of COVID-19; and
• you did not apply for the COVID-19 Wage Subsidy for the employees.

Q: I have new vehicles to get certification for and get on the road, will the testing stations do a new vehicle certification at this time?

A: Yes testing stations will do new vehicle certifications at this time, but only for essential service vehicles. Please contact your nearest testing station to arrange for this work to be carried out.

Q: What Toilet Facilities are open during this time?

A: Please refer to the following links for a list of open facilities: Toilets available in the North Island Toilets available in the South Island

Q: I need to buy RUC's and I normally do this at the Testing Station, how can I do this now?

A: You can buy RUC's online through the NZTA Website at the following Link: Purchase RUC's Online

Wage Subsidy
Q: The wage subsidy and leave payments are exempt from tax but are the wages still deductible and are they subject to PAYE?
A: The wage subsidy and leave payments are excluded income but only to the extent they offset wages. This is the tax law as it currently stands.
Q: Are payments to employees subject to PAYE?
A: Yes, they are. The easiest thing is to pay the employee as normal with PAYE and code the total as wages.
Q: If self-employed receive a subsidy/leave payment, will that be taxable as there are no wage deductions to offset it against?
A: Yes
Q: Are the wage subsidy/leave payments or payments to self-employed subject to GST?
A: No.
Q: Where should I code the subsidy I receive?
A: We suggest you create a new Revenue code called ‘Other Revenue’ and make sure there is No GST.
Q: How do I make the payment in my payroll package?
A: Each provider should have published information on how to handle this payment. If in doubt email us.
Q: I have received the subsidy – what do I pay my employees?
A: Employers that utilise the Wage Subsidy must make their ‘best endeavours’ to pay Employees 80% of their pre-COVID-19 income. Where that is not possible i.e. in particular where a business has no activity due to the shutdown and Employees are not working any hours – Employers must pass on at least the whole value of the Wage Subsidy to the affected Employee. You will need to discuss this with your Employees before implementing the changes.
Q: Should I make the payment as a lump sum or spread the payment?
A: Our suggestion is that you spread the payment according to your employee’s normal pay cycles. This is because there may be several unintended consequences, including:
o Paying the 12-week subsidy to an employee as a lump sum brings up to 12 weeks of income, that would normally be earned in the next tax year, into this tax year (which ends on 31 March 2020).
o The additional income could move them into a higher marginal tax bracket and result in them receiving a tax bill when Inland Revenue completes the automatic assessment process later this year.
o If, as a result of receiving the additional income, their total gross income for the year exceeds $48,000 they will no longer qualify for the Independent Earner Tax Credit.
o It may also impact their Working for Families Tax Credits, Child Support, Paid Parental Leave entitlements or they may receive a Student Loan bill.