Mail Post Regions: NZ

Opportunities to dodge tax are shrinking with the completion of a new tax agreement with Switzerland, Revenue Minister Stuart Nash announced today. Mr Nash and the Swiss Ambassador David Vogelsanger have today signed documents to update the double tax agreement (DTA). The previous DTA was signed in 1980. “Double tax agreements are good for business because they reduce barriers to trade and cross-border investment, eliminate double taxation, and reduce withholding…  Read more

Almost $600 million has been paid into taxpayers’ bank accounts in the past two months, after the first season of automatic tax assessments. Revenue Minister Stuart Nash says the completion of this year’s tax refund season is a significant milestone. “The ability of Inland Revenue to run auto calculations for the first time reinforces efforts to ensure everyone pays their fair share of tax. The refunds are $188 million higher…  Read more

Inland Revenue has put out proposals for consultation to clarify and simplify the tax rules around employer-provided travel to distant workplaces – for example, a person who works in Wellington but lives in Auckland, or who may travel greater distances in working from home or at multiple workplaces. The proposals seek to make it easier to tell when this kind of employer-provided travel is exempt from income tax (PAYE) or…  Read more

A former commercial diver has been sentenced to 3 years in prison after falsely claiming more than a million dollars in GST refunds. Tony Edward Cree pleaded guilty to one representative charge of dishonestly and without claim of right using a document to obtain a pecuniary advantage. He was sentenced today in the Christchurch District Court. Inland Revenue spokesperson Tony Morris says Cree, via his company Civil and Marine Group…  Read more

Inland Revenue will gain greater powers to alert savings providers if a KiwiSaver investor is on the wrong tax rate, under new legislation introduced to Parliament. Revenue Minister Stuart Nash says the administration of the tax system has markedly improved as a result of the new information technology project known as Business Transformation (BT). “Stage three of BT rolled out in April and has given Inland Revenue greater insight into…  Read more

Reforms to tax rules designed to ensure greater fairness in child support, retail trade, and residential investment have now passed into law. Revenue Minister Stuart Nash says the Taxation (Annual Rates for 2019-20, GST Offshore Supplier Registration, and Remedial Matters) Act 2019 has this afternoon received the Royal Assent. “One of the biggest changes will require offshore businesses that supply low-value goods to New Zealand to collect GST,” Mr Nash…  Read more

The new automatic tax assessment process has reached the halfway mark with Inland Revenue successfully refunding more than $300 million to New Zealanders. “By the end of July, everyone assessed for a refund will have been notified and have that money in their bank accounts,” says IR’s Deputy Commissioner Sharon Thompson. “There are roughly 1.2 million assessments still to be issued, and they’ll be sent out in batches over the…  Read more

Inland Revenue is moving to help make sure investors, including KiwiSavers, get on the correct prescribed investor tax rate (PIR). Updated estimates show around 550,000 people have underpaid tax on their investments (including KiwiSaver) with an average of $80 to $90 owing per person for the 2019 tax year, says Inland Revenue deputy commissioner, Sharon Thompson. “This suggests to us that people need support to make sure they choose the…  Read more

Inland Revenue is to gain greater oversight of land transfer information to ensure those buying and selling properties are complying with tax rules on property speculation. Cabinet has agreed to implement recommendation 99 of the Tax Working Group’s (TWG) final report. It will require most people who buy and sell properties to supply their IRD number on land transfer documentation. Revenue Minister Stuart Nash says the TWG made the recommendation…  Read more

Small businesses from around the country are enjoying a simpler approach to provisional tax – one which sees them only having to pay a bill when they’re making a profit. The Accounting Income Method or AIM is now into its second year. It’s currently provided through three accounting software providers as part of their package. That platform ensures AIM is tuned into a business’s real-time account information, which in turn…  Read more

When long-time friends Lisa Ebbing and Ange Sloan teamed up to launch fashion-forward maternity lingerie, they had a global brand in mind.  Now, just 7% of their business is local with international sales streaming in via their thriving website and the 300 stores across the globe selling their provocative but practical products. Here’s what Lisa and Ange have to say about their exporting journey, plus a few gold nuggets of advice for businesses looking…  Read more

Inland Revenue plays a critical role in improving the economic and social wellbeing of New Zealanders.  The IRD collects and distributes more than 80% of the Crown’s Revenue and collect and distribute social support payments. Paying tax helps pay for the public services we all rely on like education, health and roads. Sometimes people intentionally choose to participate in the hidden economy; don’t declare all their income; and try to…  Read more

Inland Revenue has moved quickly to shut down a scam where bank accounts appear to have been misused to generate fraudulent transactions. Deputy Commissioner Mary Craig said IR had identified a small number of instances where people’s bank accounts had been used to set up what look like fraudulent direct debits. “We know the identities of those involved, many of whom appear to be linked to each other and we’ve…  Read more

New Zealand is pushing on with efforts to ensure multinational companies pay their fair share of tax, with the release of proposed options for a digital services tax (DST). In February 2019, Cabinet agreed to consult the public on the problem of multinational digital companies which do substantial business in this country but pay no tax on income or revenues. Finance Minister Grant Robertson and Revenue Minister Stuart Nash today…  Read more

The first two batches of automatic tax assessments have been successfully issued by Inland Revenue this week with over $80 million of refunds going out to taxpayers, along with just over $10 million of tax bills to pay. Further batches go out shortly and the process will be completed by the end of July. Deputy Commissioner, Transformation, Greg James says the sort of numbers the new system is dealing with…  Read more

More than 2.5 million New Zealanders will receive their first ever automatic tax assessment over the next two months with the first batch going out May 2019. From Monday 20 May through to the end of July, Inland Revenue will be letting salary and wage earners know if they have a refund owing, a bill to pay or neither of these. Deputy Commissioner Sharon Thompson says refunds will be going…  Read more

Inland Revenue has released an issues paper on how to align an aspect of GST with international best practice and principles. Revenue Minister Stuart Nash is encouraging interested parties to make submissions by 28 June. “New Zealand’s tax rules are held up internationally as a model for a good way to levy and collect a Goods and Services Tax or a Value Added Tax”, Mr Nash says. Ideally a GST…  Read more

Customers have logged into the new myIR more than two million times since one of the largest data migrations undertaken by a New Zealand government agency. Some 20 million income tax records, representing around $5 billion in financial transactions, were moved over to Inland Revenue’s new tax system during a seven-day shutdown of services. Since Inland Revenue reopened on Friday 26 April 2019, the new system has handled: 2.1 million…  Read more

One of the biggest IT projects ever undertaken in the state sector has successfully passed its latest hurdle with the transition of more than 19.7 million taxpayer accounts from one Inland Revenue computer system to another. Revenue Minister Stuart Nash is congratulating staff and the external agencies, including banks and ICT companies, who worked on the project known as Business Transformation Release 3. “We are committed to ensuring our tax…  Read more

A Christchurch businessman who lost just over $895,000 gambling has been sentenced to three years imprisonment after pleading guilty to tax evasion charges. Chung Tuyen La traded as a chicken and fish wholesaler under the name Wycola Chicken. He admitted knowingly providing false information to the Commissioner of Inland Revenue with intent to evade the assessment or payment of $900,000 in tax. He was sentenced today in the Christchurch District…  Read more