Our friends at the IRD have released an overview their treatment of late filing tax returns and late payment of tax obligations this morning. PKF praises the pragmatic response which will assist many of our clients.
Even if you can’t pay – please file
If you are experiencing cash flow constraints due to the impact of COVID-19 and unable to pay taxes. you don’t need to contact with the IR right now. Get in touch when you can, and the IR will write-off any penalties and interest.
Continue to file however, as the information helps the Government to make correct support payments to people and to continue to respond to what is happening in the economy. More announcements are expected on other assistance measures in the weeks and months ahead.
Late filing 2019 income tax returns
You may find it difficult to complete income tax returns which are due to be filed before 31 March 2020. It remains important to furnish the returns as soon as possible. However, any late filing penalties will be waived in these circumstances.
If your business is unable to pay taxes on time due to the impact of COVID-19, as above get in touch with the IR when you can and they will write-off any penalties and interest.
When making payments please note only some Westpac branches will be open one day a week (Wednesdays) during the COVID-19, Alert 4 nationwide lockdown. There are several other ways to pay tax, via internet banking or by using myIR are the easiest. You can also make credit card or debit card payments over the phone, or set up direct debit payments through your myIR account.
The Team at PKF Goldsmith Fox
Disclaimer: the content of this article is general in nature and not intended as a substitute for specific professional advice on any matter and should not be relied upon for that purpose.