Thousands of New Zealanders have had funds taken directly from their bank accounts as Inland Revenue intensifies efforts to recover unpaid taxes.
Since mid-June, the department has issued 16,500 deduction notices—25 percent more than in all of last year—recovering $17 million from over 8,000 completed deductions and another $5.5 million still in progress.
The clampdown follows a post-Covid shift from a lenient to a more assertive approach as total tax debt hit $9.3 billion by March.
Chartered accountants told state-funded media IRD is targeting persistent non-payers and businesses that withheld GST or PAYE to stay afloat. Critics note some taxpayers have had just a week’s warning before deductions, while IRD insists its system upgrade allows earlier detection and urges people to engage to arrange payment plans.
Image credit: Thomas Coker
I do have my concerns 🤔. During COVID SMEs were forced to shut, yet the expenses mounted. Particularly all the utilities, suppliers, overheads, staff, etc. Was that illegal? Now the IRD is becoming anxious to recall “your” money!
Government cares not for the SME’s. A friend years ago told me they would far rather deal with three or four big boys – think lobbyists + corruption – than multitudes of independent operations.
IRD will stamp out these struggling businesses to their own demise. Tax relief is required not destruction.
National is going to loose its support from this generation. The population will swing hard left and that will be the end of the right for 9 long years.
These businesses owners are down to the breadline. When IRd deducts the last crumbs business will not be able to pay they creditors. They will apply to receive a benefit.
Good night and goodbye National. Luxon is an absolute twat.
My message to business owners is its not your fault. It is governments awful trading conditions. Salvage what you can, Go home and be with family and friends. Don’t do anything stupid. Keep your family sheltered warm and fed. Apply for every single benefit you can.
Great for big business monopolies, who pay donate lovely sums of money to fat cat politicians and their parties…..pig in a trough…………..
National is centre left not right wiring. Going further left will really create a mess that NZ will never recover from
My only concern is what is the IRD allowed to have access to private citizens bank accounts. Wait till were all digital ID and cashles, it will only get worse.
100% it’s tyranny.
Taxation is THEFT!!!
Will be the straw that breaks the camels back for many businesses
Clinging tenaciously to the post Ardern covid floats om of a wrecked economy struggling to stay afloat
Most of whom most probably never fully recovered
Everybody is broke
Truth in plain site
Where do government’s go when they are broke?
Money is the life blood of a business – cash flow a shot in the arm – and keeping Your head above water
Big businesses can weather the storm – small businesses – the backbone of so called democracy
Which covid was engineered and fabricated to destroy
Cannot and so fall by the wayside
Yes grind small business’s down during COVID and finish them off now they are no their knee’s. All because the parasitical scum ruining this country are wasting public money like its water running through their filthy fingers. IRD are yet another repulsive bunch, who simply serve their odious globalist masters.