Statement of Intent 2011-14: Part one - Introduction
Nature and scope of our functions
Inland Revenue collects government revenue and makes payments for social policy programmes. We employ 5,6191 people and have offices in 17 locations throughout New Zealand.
We deliver our services through business groups that provide information and assistance, undertake high-volume processing of returns and payments, and carry out compliance actions such as audit, debt management and litigation. Specialist groups provide corporate and information technology functions, adjudication and ruling services and policy advice.
Collecting revenue
We assess and collect over 80% of core Crown revenue. The majority of the revenue we collect is from income tax and GST, but we also collect several special purpose duties and levies. We also administer unclaimed money.
Figure 1 -
Revenue collected
|
2005-06 $billion |
2006-07 $billion |
2007-08 $billion |
2008-09 $billion |
2009-10 $billion |
|
|---|---|---|---|---|---|
| Direct tax | 37.3 | 38.5 | 41.3 | 38.7 | 34.2 |
| Indirect tax | 9.5 | 10.1 | 9.9 | 10.4 | 11.8 |
| Total tax | 46.8 | 48.6 | 51.2 | 49.1 | 46.0 |
Administering social policy programmes
We usually work with other government agencies to deliver social policy programmes.
We distribute entitlements for Working for Families Tax Credits to support families in work. The programme is jointly administered with the Ministry of Social Development.
We develop policy and manage service delivery for child support, as an intermediary between paying parents and custodial parents.
We are the central administrator of KiwiSaver, collecting payments and sending them to scheme providers for investment.
We collect student loan repayments from borrowers. The programme is jointly administered with the Ministries of Education and Social Development.
We deliver paid parental leave payments for the Department of Labour to parents who take leave from their job or business to care for a new baby.
Figure 2 -
Social policy programme customers
|
2005-06 (000) |
2006-07 (000) |
2007-08 (000) |
2008-09 (000) |
2009-10 (000) |
|
|---|---|---|---|---|---|
| Student loan borrowers | 470 | 499 | 530 | 562 | 587 |
| Child support (paying) | 172 | 174 | 173 | 176 | 178 |
| Working for Families Tax Credits2 | 159 | 190 | 198 | 203 | 201 |
| Paid parental leave | 20 | 25 | 26 | 27 | 27 |
| KiwiSaver members | n/a | n/a | 717 | 1,101 | 1,460 |
Providing policy advice
We provide advice to the government (with the Treasury) on all aspects of tax and social policy measures that interact with the tax system, draft tax legislation, support bills through the parliamentary process, negotiate New Zealand's international tax agreements and forecast tax revenue.
Major legislation we administer
- Child Support Act 1991
- Estate and Gift Duties Act 1968
- Gaming Duties Act 1971
- Goods and Services Tax Act 1985
- Income Tax Act 2007
- Stamp and Cheque Duties Act 1971
- Student Loan Scheme Act 1992
- Tax Administration Act 1994
- Taxation Review Authorities Act 1994
- Unclaimed Money Act 1971
- Parts of the KiwiSaver Act 2006
- Parts of the Parental Leave and Employment Protection (Paid Parental Leave) Act 1987.
1As at 31 March 2011.
2Families receiving monthly or fortnightly payments.
Date published: 14 Jul 2011
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