Every year, Inland Revenue Department (IRD) publishes Compliance Plans to give people a ‘heads-up’ about our activities over the next 12 months.
How can you be sure your own taxes are in order?
It is set out in this year’s compliance focus document.
Taxes help in providing essential community services like hospitals, schools, policing, and social welfare. It is therefore important that everyone pays his or her fair share. Most people do the right thing, but a minority fail to meet their obligations.
‘Helping you get it right – Inland Revenue’s compliance Focus 2012-2013’ outlines the key compliance areas of our focus over the coming year.
It also highlights what you can do if you think you have got it wrong.
You can read the document at www.ird.govt.nz (keywords ‘compliance focus’).
If you find that you have made a mistake with your taxes or social policy payments (like Working for Families Tax Credits, Child Support or Student Loans), talk to us or your tax advisor as soon as possible.
We can help you get back on track. Ask about a voluntary disclosure – it can offer significant benefits.
Hidden economy
The Government has allocated IRD additional funds this year to reduce the level of outstanding tax returns, overdue debt, and to increase our focus on addressing fraud. We will continue our efforts to reduce tax evasion in the hidden economy.
We will make further improvements to our online services and self-management options to provide you with a better, faster service.
Our Department has achieved excellent results in the compliance area over the past twelve months. Here are some highlights:
We have identified over $135 million in audit discrepancies and made more than 2000 advisory visits to businesses to educate them on their tax obligations.
Earlier this year, we published our first set of 16 industry benchmarks, which help businesses compare their performance with others in the same industry.
Student Loans
Our Student Loans Overseas-Based Borrowers initiative continues to deliver good results with repayments totalling $27.4 million made up to June 30, 2012.
We have also targeted over 200,000 customers in debt since July 2011 through various outbound calling campaign initiatives.
This year’s document shows how we are building on our successes from previous years and clearly indicates our continued focus in addressing compliance issues and influencing voluntary compliance.
IRD remains committed to ensuring all taxpayers pay and receive their fair share and this enables us to collect the revenue needed to pay for services that are important to all New Zealanders.
Free Workshops
If you are in business, you may like to attend one of our free tax seminars or workshops held in various parts of the country.
Visit www.ird.govt.nz and enter the search term ‘Seminars.’
Abdul Rafik is Inland Revenue’s Community Relationships Advisor based in Auckland. He will answer your queries emailed to venkat@indiannewslink.co.nz
