Intax Chartered Accountants

From 13 October, IRD is launching a pilot program where selected businesses will receive a formal Notice of Intent about any outstanding tax debt.

If no action is taken — such as setting up an instalment arrangement — the debt may be reported to credit agencies after 30 days.

The notice will appear in the business’s myIR account and be couriered to the registered office. The 30-day period starts once it’s delivered.

IRD will notify the company only, not individual directors. ‘Reasonable efforts’ include IRD’s standard overdue reminders and repayment options.

Budget 2024 and 2025, funding was allocated specifically for IRD to be more aggressive in terms of audit activity… debt is the focus and they certainly don’t want to let it get any larger.

Inland Revenue recovers $17m through bank deductions Total tax debt hit $9.3b in March after lenient Covid-era collection years.

IRD is getting tougher on unpaid taxes

The Inland Revenue Department isn’t playing around anymore. They’re now placing deduction notices with banks and emptying taxpayers’ accounts, making arrests at the border, and taking a much harder line in debt negotiations — on top of bankruptcy and liquidation.

And it doesn’t stop there — for unpaid PAYE and GST, the IRD can prosecute. That means you could face up to 5 years in prison and/or a $150,000 fine.

If you’ve got tax debts hanging over your head, don’t wait for the IRD to come knocking. Sort it out now — before they decide how the story ends.

Kiwi living in Australia for decades arrested at NZ border over unpaid $58k student debt Her lawyer said such a move was 'very, very rare'.

In the last quarter alone, the IRD placed 164 companies into liquidation.

Don’t let your business become part of that statistic. Ignoring the problem won’t make it go away—burying your head in the sand only gives debt more time to grow.

The earlier you take action, the more options you’ll have to turn things around. Start now: seek advice, create a plan, and work toward paying off your debts before it’s too late. Your business’s future depends on the steps you take today.

Restaurateur linked to 11 liquidations now owes the Govt $2m The man behind Auckland's Kohi Beach Eatery and burger chain Downlow has had two more companies placed into liquidation with his businesses owing a combined $2m to the Govt.

Changes to Kiwisaver come into effect from today:

Reduced maximum contribution: The annual government contribution has been halved, dropping from $521.43 to $260.72.

Expanded eligibility: Individuals aged 16 and 17 are now eligible for government contributions, provided they meet all other requirements.

Income cap introduced: Those earning more than $180,000 in taxable income per year are no longer eligible for the government contribution.

No change for 2024–25 year: Contributions for the year ending 30 June 2025 will still be paid in July and August at the current rate of $521.43.