Tax relief measures announced for those affected by recent earthquakes

Tax relief measures announced for those affected by recent earthquakes

Today, 22 November 2016, the Revenue Minister Michael Woodhouse announced tax measures to help those affected by the Kaikoura earthquakes.

“This is a difficult time for many in the Kaikoura region and those affected by the earthquakes should be looking after themselves and their families first and foremost, rather than worrying about not meeting their tax obligations,” Mr Woodhouse says.

“Following an Order in Council this morning, Inland Revenue will waive use of money interest when a person is prevented from paying on time as a result of the recent earthquakes.

“This applies to all late tax payments and at this stage, is scheduled to expire on 31 January.”

Mr Woodhouse also welcomed Inland Revenue’s decision to cancel late filing and late payment penalties for all affected taxpayers.

“Yesterday was a PAYE filing date, but while people are trying to put their lives back in order, they shouldn’t be worrying about missing filing dates if the quakes have prevented them from filing,” Mr Woodhouse says.

“I’m also very pleased that IRD has announced discretions on income equalisation for farmers and fishers who are significantly affected by the earthquakes.

“Normal tax rules do not take into consideration extraordinary events like last week’s earthquakes. For Kaikoura and surrounding areas, it is important we provide some more flexibility to reflect the reality of the situation they face.”

For more information, see www.ird.govt.nz.

Posted: Tuesday 22 November 2016