Corporate members: earlier refunds, higher interest
As a corporate member of Tax Management NZ you can reduce exposure to use-of-money interest and increase the flexibility with which you manage tax payments and refunds.
[Benefits of membership]
- Higher interest on tax refunds – usually over 2% above Inland Revenue rates.
- Lower interest on additional tax – usually 3% below Inland Revenue UOMI rates.
- Earlier tax refunds – giving you access to the funds quickly, 2-4 days.
- Online access to provisional tax balances
- Easy tax transfers to related companies
- Allocate balances across group entities – without needing to transfer funds out of the pool
- Simple reconciliation – through easy to read statements
- Easier management of tax buffers
- Simple payment procedures – through management of the Inland Revenue interface
[In safe hands]
Custodial trustee services for the Guardian Trust/Tax Management NZ Tax Pool are provided by The New Zealand Guardian Trust Company Limited (Guardian Trust). Guardian Trust is part of the Trust Company, a leading Australian trustee services organisation listed on the Australian Stock Exchange. Guardian Trust currently supervises assets and investments in New Zealand in excess of $NZ50 billion.
Guardian Trust
- Holds all payments and Tax DEPOSITS on trust for members
- Maintains client registration details and the tax register of Tax DEPOSITS
- Holds the Guardian Trust/Tax Management NZ Tax Pool Account at Inland Revenue
- Authorises all payments and tax refunds
- Authorises all transfers to members' accounts at Inland Revenue
[How it works]
Provisional tax payments
- Tax Management NZ members pay their tax to the Tax Pool Guardian Trust bank account.
- Guardian Trust deposits the tax with Inland Revenue in the Guardian Trust/Tax Management NZ Tax Pool IRD Account and maintains a register of the tax deposit.
- Guardian Trust sends a Tax DEPOSIT statement to Corporate members.
Overpaid Tax Amounts
- Tax Management NZ members request a Tax SALE of any overpaid tax amounts through the Tax Management NZ website.
- Tax Management NZ will match the Tax SALE with a Tax PURCHASE request. Where there is an insufficient match, Guardian Trust can request a refund from Inland Revenue.
- For amounts matched to a Tax PURCHASE, Guardian Trust will pay the tax amount plus the Tax Management NZ enhanced interest. Guardian Trust will pay the tax amount plus Inland Revenue interest on the portion not matched by a Tax PURCHASE.
- Guardian Trust will send a statement to the Tax Management NZ member showing the overpaid tax amount and interest paid.
Additional tax to pay
- Log in as a member to obtain a quote (requires registration).
- Confirm the request online.
- You will receive immediate email confirmation of amounts requested along with Guardian Trust's account details for payment. Payment due date is generally within two weeks.
- Tax credits purchased can be held in the Tax Pool for you or Guardian Trust and Inland Revenue will arrange the transfer of the tax to your IRD account within two weeks of the payment due date
“Many of our clients make one tax payment at each provisional tax date for all entities within their group. They allocate these payments at Tax Management between the various entities at a later date, once actual tax liabilities for the year have been calculated. Also, any under or overpayments can be identified at an early stage and Tax PURCHASES or Tax SALES instigated as appropriate.”Greg Bishop, Partner, KPMG