Architect

Tax guide for New Zealand self-employed architects in sole practice

Allowable Expenses

• NZRAB membership — New Zealand Registered Architects Board annual fees
• Architecture software — ArchiCAD, Revit, AutoCAD, rendering software licences
• Professional indemnity insurance — Required for all architects in practice
• CPD courses — NZIA continuing professional development requirements
• Site visits & travel — Travel to client sites and construction sites

Tax Tips

• NZRAB annual fee and NZIA membership are fully deductible professional fees
• CAD and BIM software licences are 100% deductible business expenses
• Professional indemnity insurance premium is a significant deductible business cost
• Site visit mileage — travel to client sites and construction sites — is deductible at the IRD km rate

Frequently Asked Questions

Are architecture software licences deductible for NZ architects?

Yes. ArchiCAD, Revit, AutoCAD, and other architecture software licences used for client work are fully deductible business expenses in the year they are paid.

Are NZRAB and NZIA membership fees deductible?

Yes. Annual NZRAB (New Zealand Registered Architects Board) registration and NZIA (New Zealand Institute of Architects) membership fees are fully deductible professional expenses for self-employed architects.

How do NZ architects treat fees on a milestone billing basis for tax?

Income is recognised as invoiced or received in each tax year. If you bill on project milestones, the amount invoiced in each tax year is included in that year's IR3. Manage your cashflow so you have funds to cover the tax on milestone payments.

Can NZ architects claim professional indemnity insurance?

Yes. Professional indemnity insurance required by NZRAB is a fully deductible business expense. It is typically a significant annual cost for sole-practice architects and should be claimed in full.