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About us
E pa ana ki Te Tari Taake

Statement of Intent - 2004 - Part 1

What we strive to achieve - pages 10-11

We have a significant role in the collection and distribution of revenue on behalf of the government as we are responsible for:

  • the collection of the bulk of the government's taxation revenue, student loan repayments and child support payments
  • the disbursement of child support, family assistance and paid parental leave
  • provision, with The Treasury, of advice on tax law and reform, and on social policy measures that interact with the tax system.

To assist us in carrying out these activities for government we have:

  • considered how our work assists in delivering the Government's goals
  • considered how we contribute to outcomes that cross a number of government agencies
  • clearly defined what we are striving to achieve for government--our primary outcomes.

How our outcomes contribute to the Government's goals is shown in Figure 2.

Figure 2 -

The links between Government goals and our outcomes

Click on the image below to see the full size:
The links between Government goals and our outcomeS

For each outcome we have:

  • stated intermediate outcomes
  • developed clear rationale about how our broad activities help contribute to those outcomes.

Figure 3 -

Taxation outcomes

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Taxation outcomes

The primary legislation governing our outcomes is the Tax Administration Act 1994 and its associated Acts covering taxes and duties. Our taxation outcomes reflect our role as a tax administrator as prescribed under our legislation and as a policy advisor to government on the design of the tax system. Revenue is available to fund government programmes when the tax system and administration are operating efficiently and effectively for both government and the community.

Our four intermediate outcomes contribute to our primary outcome through:

  • promoting taxpayers complying with their tax obligations of their own accord, but when this does not happen, appropriate action is taken to ensure compliance
  • protecting the integrity of the tax system
  • ensuring revenue is collected within the law.

An important contributor to compliance is the community perception of how we use our powers. Like other revenue authorities we have considerable powers. With these powers, quite rightly, there is community expectation of consistency in application, equity, professionalism and integrity. These expectations are acknowledged through:

  • Our Charter which sets out our fundamental commitments concerning privacy and confidentiality, consistency and equity, and the right of all taxpayers to question Inland Revenue.
  • Our Code of Conduct which sets out the high standards of integrity and behaviour expected of employees of Inland Revenue. It also explains the department's responsibilities as an employer and the responsibilities of being a public servant. The code builds on the requirements set out in the State Services Commission's Public Service Code of Conduct.

The Tax Administration Act 1994 not only requires that we collect revenue but that:

Every Minister and every officer of any government agency having responsibilities under this Act ....are at all times to use their best endeavours to protect the integrity of the tax system.

If there is a perception, rightly or wrongly, that the tax system is compromised through avoidance or evasion or inconsistency of treatment, there is a major risk to our ability to collect the right amount of revenue. This is because taxpayers may consider that they may take the risk of not meeting their tax obligations. To mitigate this risk we need to ensure that we:

  • have strong and effective leadership
  • have sound management practices
  • have efficient and effective work practices
  • spend public (taxpayers') money sensibly and responsibly
  • are willing to work openly and be judged on performance.

Our output classes reflect these principles and show the broad activities that contribute to our outcomes:

 

 

 


Date published: 17 Nov 2004

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