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Transforming Inland Revenue Te Whakahou i te Tari Taake

Changes for individuals - simplifying income tax

Learn about changes we're introducing to make tax more straightforward.

The Government has introduced changes to simplify the end-of-year tax processes.

The changes will apply from 1 April 2019 and will therefore be in place for the year end processes for the current tax year (1 April 2018 ‒ 31 March 2019).

Who will these changes benefit?

These changes will benefit individuals whose only income is from employment, investments (such as interest from bank deposits and savings), or a benefit under an employee share scheme.

What will the changes mean for end-of-year tax?

If your only income is from employment, investments (such as interest from bank deposits and savings) or a benefit under an employee share scheme, we’ll send you an income tax assessment to finalise your end-of-year tax information.

The income tax assessment will tell you how much you have earned and how much tax you’ve paid – and if you’re due a refund or have tax to pay.

Under the new changes, we no longer issue personal tax summaries (PTS) for the 2019 and future income years. (You can request a PTS through myIR to find out if you’re owed tax from previous years).

What if I have expenses to claim?

You’ll need to provide us with your information on your expenses. We are making it easier for you to do this online.

What if I have another source of income?

You'll need to provide us with more information and file an income tax return (IR3) if you have another source of income from:

  • a business
  • a rental property, or
  • overseas.

Even though this process is not changing, we're making it easier for you to do your tax return online. This includes pre-populating any salary, wage and investment income, which already has tax deducted, on your income summary.

What if I paid too much tax?

If you paid too much tax during the year and are due a refund, we’ll automatically pay the refund directly into your bank account.

Note: Make sure that your bank account details are up-to-date because we'll no longer issue refunds by cheque except in exceptional circumstances.

What if I paid too little tax?

If you paid too little tax, we'll let you know how much you owe and by when you'll need to pay it. In general, you'll have until February of the following calendar year to pay any tax owing.

There continues to be a range of payment options available, including payment plans.

Want more information about these tax changes?

Download Simplifying income tax fact sheet (IR1057)

Helping you stay on track

If it looks like you're on the wrong tax code, we'll notify you and suggest a more suitable tax code. This helps to avoid a situation where you might pay too much or too little tax.

You can apply online for a tailored tax code and we'll notify your employer of your updated tax code.

This improvement helps you pay the right amount of tax during the year.

Donations

From 26 April 2019, you have the option to upload your donation receipts online through myIR at any time during the year. This will help avoid a situation where you miss out on a refund for donations if, for example, you cannot find all your donation receipts at the end of the year.

We'll still issue refunds at the end of the year.

Do I need to do anything?

We recommend that you keep your details up-to-date, including your bank account.

You can do this securely through your myIR account or by contacting us directly.

Learn more information about how we're changing for you