Skip to main content

Budget 2024: The Government has announced FamilyBoost, a proposed new childcare payment to help eligible families with the rising costs of Early Childhood Education (ECE). Find out more: Beehive.govt.nz

The accompanying accounting policies and notes form part of these financial statements.

Contingent liabilities

Employee grievances

These contingent liabilities represent amounts that may be claimed by employees as a result of alleged grievances against Inland Revenue.

Legal proceedings and disputes - taxpayer

These contingent liabilities relate to potential claims against Inland Revenue for court costs only, associated with tax disputes and other tax related legal proceedings being taken through the courts. The actual revenue (tax) under dispute is recognised as a non-departmental contingency (refer to the Schedule of non-departmental contingent liabilities and contingent assets). The expected value of the contingent liabilities is calculated using an outcome probability model that considers both the total potential liability and the probability of that outcome.

Schedule of non-departmental contingent liabilities and contingent assets

Other

The claim identified in 2021 was resolved in favour of Inland Revenue. The are no further claims on this matter.

Contingent assets

Legal proceedings and disputes - taxpayer

These contingent assets relate to potential amounts recoverable by Inland Revenue for court costs only, associated with tax disputes and other tax related legal proceedings being taken through the courts. The actual revenue (tax) under dispute is recognised as a non-departmental contingency (refer to the Schedule of non-departmental contingent liabilities and contingent assets). The expected value of the contingent assets is calculated using an outcome probability model that considers both the total potential court costs recoverable and the probability of that outcome.

Schedule of non-departmental contingent liabilities and contingent assets

Last updated: 19 Aug 2022
Jump back to the top of the page