standard uplift method

Image: Safe harbour provision.

Uplift payments required for safe harbour eligibility

Uplift payments required for safe harbour eligibility 1200 630 Lee Stace

Provisional taxpayers cannot use the safe harbour provision if they fail to make their standard uplift payments on time and in full. However, tax pooling can fix this. Safe harbour – what it is and the criteria Safe harbour is a concession whereby IRD will not charge interest between a taxpayer’s final provisional tax instalment…

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Image: IRD interest calculations

Failing to pay cents costing thousands in IRD interest

Failing to pay cents costing thousands in IRD interest 1344 820 Lee Stace

A $2400 IRD interest bill after underpaying an instalment of provisional tax by a mere 30 cents. This is just one example of how the programming issues within IRD’s system are currently affecting interest calculations for provisional taxpayers. IRD says it has seen cases where taxpayers have lost access to the safe harbour provision because…

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