Being innovative is one of our key values at KGA, and we love the flexibility and service Tax Management New Zealand offers.
Who is Tax Management New Zealand, and what do they do?
The service they provide is called Tax-pooling – where taxpayers pay into the tax pool when it suits them and TMNZ makes payments to IRD on their behalf.
IRD is mainly concerned with receiving the correct amount of tax from taxpayers. It supports the payment options offered by TMNZ because they allow taxpayers to reduce their compliance costs while ensuring they pay the tax they owe throughout the year in a timely manner.
That’s interesting, but how can it benefit me, and my business?
Our partnership with TMNZ allows you to pay tax on your terms by giving you greater flexibility over how and when you make your income tax payments. Some benefits are –
- Pay provisional tax when it suits you – you can pay when it suits your business cashflow and we make sure everything is settled on time with the IRD.
- Save on IRD interest and late payment penalties – if you have provisional or terminal tax owing to IRD, you can save up to 30% on interest and eliminate late paying penalties altogether.
- We can also arrange for you to have an extra 75 days past your terminal tax date to pay provisional or terminal tax payments for the current year or one just completed. If you have received a notice of reassessment from IRD, you have an extra 60 days from the date this correspondence was issued to pay the additional tax you owe.
All these numbers, dates and payments can become a little (or a lot!) confusing, which is why we’re here to help you manage and structure your payments to when suits you. Give us a call and we’ll gladly walk you through a plan of attack!
We can also help with other types of tax such as GST and PAYE if you have received a notice of reassessment from IRD due to a voluntary disclosure or IRD audit.
Contact us now to talk about how our partnership with TMNZ can help you.