Starting a business: Your business tax obligations
Putting your tax returns right
If something is wrong with your tax returns, we encourage you to tell us about it so that it can be corrected as soon as possible. This is called making a voluntary disclosure. Anyone can make a voluntary disclosure.
Incentives for making a voluntary disclosure
If Inland Revenue finds errors in your tax returns, you could face significant penalties. It is best to tell us what is wrong with your tax returns before we find out in some other way. The benefits of making a voluntary disclosure are greater if you make a full and complete disclosure before being notified of a pending tax audit.
Some benefits are still available to you if you wait until you're notified of an audit, but only if you make a full and complete disclosure before the audit actually begins.
The advantages are explained in our booklet Putting your tax returns right (IR280).
How to make a voluntary disclosure
You can make a voluntary disclosure in any of the following ways:
- by completing a Voluntary disclosure form
- by contacting us by phone, letter, fax or email
- by visiting an Inland Revenue office
- during an interview.
What to expect from an audit
Any business customer of Inland Revenue may be selected for an audit. In an audit we look at your tax and business records to check that:
- your tax returns have been completed correctly
- you have paid the correct amount of tax.
As a result of the audit, you may receive a tax refund or be asked to pay more tax.
Date published: 14 Jan 2005
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