We have written recently to Inland Revenue (IRD), raising the issue of a number of occasions whereby IRD staff have contacted clients directly instead of contacting us as your agents in the first instance.
We are reminded of a communication protocol issued six years ago that remains in place to this day. Please note some responses from IRD in italics.
“In summary, specifically around debt and returns, the agent (that’s us) will receive a letter advising of the outstanding debt or return, then the client will receive a copy of the letter 10 days later unless the tax agent has contacted the department first. Generally after that, if returns or debt are still outstanding we can make contact with the customer directly even if there is a tax agent linked.”
As a consequence we have raised our response times here to ensure we are responding within the ten day time frame.
“I know there are underlying pressures and unfortunately our (IRD) system has not been working as fluidly as anticipated. With the new system while fixing errors, new ones popped up and it has caused more confusion and delays. This was not expected but we (IRD) have been working very diligently in rectifying any issues brought to our attention as swiftly as we can.”
What is also apparent is that many of the payments made are simply going to the wrong type of tax or wrong period.
Please ensure you correctly identify every payment made to ensure it goes to the right area. This will reduce a lot of this unnecessary activity.
For more information, contact:
Nexia New Zealand
T: +64 3 379 0829