Struggling or unable to pay your tax?
When it comes to paying your tax, in full and on time is the best way. If you don't think you'll be able to pay your tax, the best advice we can give is to contact us early.
To help manage your tax payments, here are some suggestions for:
What you can do to help pay your tax on time
Keep track of your money
- Manage your cash flows carefully:
- do budgets
- review your credit terms and conditions, and
- make sure your charge-out rate covers your costs.
- Open a special tax account with your bank and put money aside regularly, so you can be ready for your tax payments.
Plan ahead
If you know you've got tax to pay it's a good idea to start planning early and know your due dates. Use our tax due date calculator to get a list of due dates and returns for your business. It's a good idea to:
- print out the list and keep it handy as a reminder, or
- highlight the dates in your diary or wall planner.
If you're registered for GST
If your customers are slow in paying, and you're registered for GST, consider using the payments basis so you can pay your GST as your customers pay you.
Learn more about changing your accounting basis
Tell us if something changes
Call us on 0800 377 774 to tell us about important changes for your business, for example:
- a new address
- a change in business activity, or
- finishing up as an employer.
How we can help you if you have overdue tax
We'll help you work out the best solution
- Contact us as soon as possible if you don't think you'll be able to pay your tax on time.
- You don't have to wait until the due date.
- Contacting us early means you'll minimise penalty and interest charges.
- If you are experiencing serious financial difficulty there are other ways we may be able to help you. Call us on 0800 377 771 and we can talk about the options available to you.
Find out about managing financial difficulty and debt
Consider an instalment arrangement
File your tax returns, even if you can’t pay the tax owing. We may be able to set up an arrangement to pay your tax in instalments over time. We can always review the arrangement if your financial situation changes.
Your entitlements may have changed
If your income has changed you may qualify for more working for families tax credits.
Work out your working for families tax credit entitlement
Other assistance available for you
- The small business relief package announced by the Government on 4 February 2009 includes tax changes which make it simpler for businesses. More information about the small business relief package is available on beehive.govt.nz
- Free advisory services to help start, manage and grow your business, including a business "health check" and mentoring service, are available through www.business.govt.nz or by calling 0800 424 946.
Date published: 28 Jul 2009
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