We have recently issued Revenue Alert RA 26/02: Non-compliance in the horticultural sector.
Revenue Alerts highlight significant or emerging tax issues of concern and outline our current view and approach.
This alert raises awareness of practices we have identified in the horticultural sector that may result in people not meeting their tax obligations correctly. These include labour supply arrangements, schedular payment obligations and cash payments.
As a result, we’re increasing our focus on growers, contractors and subcontractors in the horticultural sector. This will support compliance and help ensure people report and pay the correct amount of tax. Where we find concerning behaviours, we may consider a range of compliance responses.
We encourage you to review the alert and discuss its implications with any clients who may be affected.
RA 26/02 Non-compliance in the horticultural sector (taxtechnical.ird.govt.nz)