Have you found yourself in a position where you are late paying an income tax payment, or unable to pay in full?  Don’t despair – we can help!

Before you pay Inland Revenue, get it touch with us to discuss how you can use tax pooling to preserve your payment dates and save potential interest and penalties.

For unpaid income tax, you can settle what you owe Inland Revenue by paying through a tax pooling intermediary such as Tax Management NZ (TMNZ) at an interest cost lower than the interest Inland Revenue charges on underpaid tax.

The payment you make is essentially a purchase of tax that TMNZ paid to Inland Revenue on the original date the provisional tax was due.

As this payment is date-stamped, IRD treats the tax as paid on time once it has processed the transfer from the tax pool to your IRD account.  Any late payment penalties and interest showing on your account will be reversed once this happens.

Contact us if you would like to discuss tax pooling as an option to clear up your income tax debt or to fund your next provisional tax instalment.