Businesses with tax debts under $10,000 should note that the IRD will be taking action soon. The IRD will begin contacting taxpayers with outstanding tax arrears under $10,000 from 1st June 2021 if:

tax debts under $10,000

  • The debt is more than 60 days overdue, and
  • The amount of the debt is between $200 and $10,000, and
  • The debt is assessed (i.e. not missed provisional tax instalments), and
  • The client account is active, and
  • There is no active tax pooling indicator on the client’s account.

It’s important to organise a payment plan within 60 days’ of the due date or the IRD will start taking recovery action. We can assist you with making payment arrangements to address your tax debts, such as setting up instalment payments or arranging tax financing, so please get in touch with us before the debt due date.