ACC levies are dropping!
If you own a Small Business, ACC will automatically update your levy rate and you’ll receive an invoice later this year.
If you’re self-employed, ACC is changing the way you’re levied. In future, the income from your tax return will be used to calculate your levy for the same year.
You don’t need to do anything as your invoices will automatically be updated.
ACC view self-employed people and small businesses differently.
To ACC, self-employment means you’re the only person in your business, are a member of a partnership or operate as an independent contractor.
Small business owners are designated as such if they have other people working for them and are required to pay the levies of employees as well as cover them while they are at work.
In order to calculate how much you need to pay, ACC will consider the following:
- the industry you work in
- your classification unit
- your annual income
ACC Levies are applicable to everyone who is in business in NZ.
There are three different types of levies –
- Work Levy
- Earners Levy
- Working Safer Levy
The Work Levy is the fund that supports people when they sustain injuries at work, and this is different for every business.
If you would like to find out more information about ACC levies and how they are calculated, you can visit the ACC website here.