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, pick up the phone and call us on 0800 555 024, so that we can do everything within our power to reduce the compounding costs that come with Inland Revenues interest and late payment penalties regime.
In certain circumstances, Inland Revenue will accept payment arrangement as a financial relive but this can’t be relied on or used for every tax payment. We'll be able to work with you to find the best outcome for your situation.
If you know you've got tax to pay it's a good idea to start planning early and know your due dates. Use Inland Revenue's tax due date calculator to get a list of due dates and returns for your business. It's a good idea to:
We might also be able to help you chat about ways to improve your cash flow and ensure you have cash for when tax time comes around. You should factor in your three provisional tax installments into your yearly cash flow forecast. We can help you with this, so talk to us about creating a budget and/or cash flow forecast for you and your business, also check out our blog on cash flow for a few handy pointers.
Generally, you will be charged Use of Money Interest (‘UOMI’) and Late Payment Penalties (‘LPP’) which are compounding.
If you still have questions, check out Inland Revenue's page on difficulty paying tax.
