Labour MP already talking tax breaks

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Instead of doing Woman’s Weekly and lifestyle pieces, or holding up some mangy ham with tongs for the local rag, Stuart Nash reminds voters that the IRD may still have some of their loot.

A significant number of hard working New Zealanders should take 10 minutes out of their holiday time to see if they are eligible for a tax refund, says Labour MP Stuart Nash.

“The IRD is holding around $750m in unclaimed tax refunds going back four years. This is money that Kiwi’s have over paid in tax that they deserve to have in their back pockets.

“I would especially encourage those who work two or more jobs, and who pay secondary tax, to contact the IRD either by phone or through their website because they may well find that they have overpaid tax and are eligible for a refund.

“If a person has their IRD number, which should be printed on all their pay slips, it only takes around 10 minutes to see if they have money owed to them by the IRD.

“The unfortunate thing is that after four years, refunds expire and are no longer accessible so don’t wait. There is nothing to lose, and you never know, there may just be enough money there to cover the costs of Christmas,” says Stuart Nash..

It seems rather odd that people would let the IRD keep $750m of their hard earned money.  I don’t think I’ve ever left them with any money they weren’t due.

Have you checked?   You know, in case?

 


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  • Murray Smith

    You’d think that, in this day and age of computers and surveillance that an IRD number could automatically indicate a refund that was due.
    I guess logic will never be found in a government department.

    • Aucky

      Maybe Murray. Personally, I would far rather the $750 mill be rolled over after four years & used for health & education. Why incur extra expense by trying to contact people who can’t be bothered to check for themselves. Just more nanny statism.

      • Murray Smith

        Perhaps the system that takes the money, should automatically return the money. It doesn’t belong to the government.
        Almost theft.

        • Not Clinically Insane

          While I understand the sentiments, a sizeable chunk actually comes from places like the Public Trust, or banks etc, where they have been unable to find the person to who that money belongs

    • Not Clinically Insane

      IR has that ability for salary/wage only earners. Unclaimed monies come from other places

      • Mark

        They have that ability,but they do not use it unless you ask for your funds to be returned.
        Their behavior is completely immoral.
        At least the Refund companies are transparent in their dealings.

    • peterwn

      Actually IRD has this ‘in the works’ already, but it needs various IT enhancements for it to be fully effective. So with respect to tax refunds, Stewart Nash is promising something that IRD is already working on, but it is unlikely that Labour would be able to push this faster than IRD’s current programme.

  • pisces8284 .

    Here is the website to see if you are owed money
    http://www.ird.govt.nz/unclaimed-money/
    Edit – not tax refunds though

  • Asian_driver

    there are plenty of tax refund companies that will make the call for you, and take a slice of your refund, cleverly once you sign up it keeps rolling over, just another trap for the not so money savvy, Nash makes IRD out to be the villans, he should be helping the low waged by advising them not to use refund companies, but theen people are prepared to pay $5 for a bottle of water when it come out of a tap for free, so what would I know !

  • Asian_driver

    The unclaimed money is not tax refunds
    “We provide a service for the true owners of unclaimed money which has been left untouched for six or more years in companies such as financial institutions and insurance companies.

    Unclaimed money is not income tax refunds or any other unpaid tax refunds.”

    Is this what he is on about? Otherwise you need to fill in a tax return

  • Not Clinically Insane

    Nash has confused tax refunds for unclaimed monies, which are two very different things. Unclaimed monies comes from all sorts of places, and sit with IR as a ‘holding place of last resort’

    But its unlike a politician to get things right….

  • peterwn

    Anyone who has more than one job, super + job or investments + job could benefit from getting getting a special tax code for one of the jobs. You need to do a bit of homework and a good time to do the homework and apply is during February so you have your special tax code ready in time for the new tax year. Ask for a IR23BS form.

    For those doing child care / domestic cleaning there is another useful mechanism – see the IR56 guide. This however is rather like ‘do it yourself PAYE’ which can be a bit time consuming.

  • cows4me

    It’s probably a scam, get all the tax dodging mongrels to log into the IRD website, declare their ill gotting gains In the hope for a windfall and presto, you’re screwed.

  • Damon Mudgway

    I did last year cause turns out my employer (insert ‘prat”) was taxing me at the wrong rate. I got a nice cheque for a couple of $k.

    • Tom

      My ex-employer did the same thing, but the wrong way round, so I’d get a bill at the end of the year for a couple of $K, get him to sort out the tax code and carry on, but he or his accountant would revert back to the wrong code again! Three years in a row! Really messes with savings..

      Then, turns out my current employer has been deducting kiwisaver but not forwarding it to the kiwisaver people, for nearly a year. So I get that paid through, but miss out on the rest.

      • Damon Mudgway

        In this day and age these sort of ‘mistakes’ generally only happen when your employer is either lazy, dodgy, or does not value staff.

        • Tom

          He has a healthy dose of useless. One of the reasons why I’m going to work for myself instead.

      • Not Clinically Insane

        Tom, do you have payslips or similar? Im aware of circumstances where once it is established that the money has been deducted from your wages its then passed onto your provider from Crown coffers

        • Tom

          Payslips, nope. Going to be interesting when he has to pay my holidays out, I’ve had 4 weeks of annual leave in over 4 years, and he has zero records(However, I know what I’ve had).

          • D.Dave

            If he has zero records then the ball is in your court. You have all the advantage under the employment laws. I would assume you have a contract. If not, it would be another bit of dosh he would have to pay out. About $5000 fine for him by not having a contract.

          • Tom

            He’s not an arsehole, quite the opposite, he’s just a bit slack in some areas. I’ll be playing it straight.

            Edit: and who isn’t?

          • Not Clinically Insane

            Hmmm…. Wonder if he’s even been sending your information to IR then. Definitely worth making an enquiry to IR what your income information is….

          • Tom

            Have checked, it was all kosher apart from the Kiwisaver

  • Wendy

    So here is my gripe with the IRD.
    Several years ago, after a change in circumstance, I realised I should file a tax return (it had previously always been done by an agent).
    Imagine my surprise when I was informed my returns (several years) had already been filed by another person (yes, I know who), processed, and a refund paid into an account that wasn’t mine.
    How can this be, I hear you ask. Surely that sounds like fraud?
    Well I asked the same question of IRD and their response, in its entirety was “Ohh, that’s not good”. The police didn’t want to know and it is not within the jurisdiction of the small claims court.

    • caochladh

      Send him a bill for your portion of the refund. When he refuses to pay, it comes under the jurisdiction of the Disputes Tribunal.

      • Wendy

        For the Disputes Tribunal (previously the Small Claims Court), there has to have been an original agreement of some kind that has been broken which isn’t the case here. That is why they wont hear it.

        • Muffin

          a tax agent will generally get you to sign the return prior to filing it. If its not the tax agent it is fraud and the police should be involved. They will if you become a squeaky wheel.

          • Wendy

            In theory yes, in reality that hasn’t been my experience.

          • Muffin

            police complaints authority, local MP, Minister for revenue and minister for police, get stuck in.

          • Wendy

            And then complain loudly to the media. That’ll kill two birds with one stone.

          • Muffin

            your are complaining to the media :)

        • ex-JAFA

          Are you sure they won’t? I successfully took a case to them without a contract, using “reasonable expectation of payment” (professional services, in my case) as the basis.

          Mind you, even winning a case doesn’t mean you’ll get paid. There’s only a ruling that you must be paid; nothing is done to ensure it happens. I’m still out of pocket by $3k.

          • Wendy

            That is an interesting thought…take IRD to the Disputes Tribunal. They didn’t pay me, they paid someone else.

          • Tom

            Oh that’ll be fun, not!

          • Wendy

            Actually, tempting as it sounds, I don’t think you are allowed to.

    • Damon Mudgway

      Is this the ex, Wendy?

      • Wendy

        Probably best to focus on IRD so I don’t take it too off topic.
        But thanks for asking.

        • Damon Mudgway

          Reason being, if it is, it’s very hard to prove a crime if you were together at the time you earned the money. However, if it were your accountant for example, then different ball game.

    • Time For Accountability

      No agent can file a return without holding written authority to access and obtain information from the IRD.

      Did you at any stage give such written authority?

      • Wendy

        The original tax agent (accountant) had written authority, but the person Im talking about didn’t.

  • Time For Accountability

    The bigger scam is the tax refund companies that merely do what anyone can do themselves direct with an IRD Login.

    Most of the refunds were due to the ME tax rate code that gives certain folk in a specific band of tax an extra $520 refund yet they did not advise their employer of the correct rate.

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