Inland Revenue (IRD) has announced a nationwide Community Compliance Campaign targeting businesses with overdue tax returns or unpaid tax. This signals a clear focus on ensuring all businesses are up to date with their obligations.
The campaign highlights the importance of timely tax compliance. For many businesses, staying on top of GST and PAYE can be a challenge, but this initiative shows that Inland Revenue is taking a firm stance on late filing and payments.
What is the focus of the campaign?
Inland Revenue is concentrating on two key areas:
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Early-stage GST and PAYE debt: even relatively small outstanding balances are being actively followed up.
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Overdue GST and Employer returns: late filing is considered a significant red flag, prompting closer scrutiny.
This compliance push is expected to continue until at least December 2025. The goal is to resolve as many outstanding obligations as possible before the end of the year.
What this means for your business
One of the most important aspects of this campaign is how Inland Revenue is communicating. Unlike many other tax matters where your advisor is the first point of contact, Inland Revenue will be contacting businesses directly about overdue debt or unfiled returns.
It is crucial not to ignore this contact. If you do not respond, Inland Revenue can escalate the matter quickly. This may lead to enforcement actions such as deduction notices issued to your bank or employer, legal proceedings, or visits from compliance officers.
Staying current with your GST and PAYE obligations is critical. Falling behind can result in penalties and interest. It may also affect your relationship with Inland Revenue and your credit standing with lenders. This campaign shows that even small delays or arrears could attract immediate attention.
Our advice: act now
If you have any outstanding GST or Employer returns, or unpaid tax, the best course of action is to address it now. Taking proactive steps can help you avoid being caught in this enforcement campaign. Filing overdue returns or arranging a payment plan with Inland Revenue will be viewed more favourably than inaction, even if you cannot pay the full amount straight away.
How we can help you
We understand that dealing with tax obligations can be stressful, particularly when cash flow is a concern. Our purpose is to help you thrive, and providing clear, confident guidance through these situations is part of that promise.
Our team at Moore Markhams is here to support you. We can:
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Review your GST and PAYE position to give you a clear picture.
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Help you file any overdue returns quickly and correctly.
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Assist with negotiating manageable payment arrangements with Inland Revenue.
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Provide expert advice on cash flow management to help you stay on track.
If you have concerns about your tax position, please get in touch with your advisor as soon as possible. Acting now provides the best opportunity to manage the situation proactively and avoid enforcement activity from Inland Revenue. Contact us here to discuss how we can support your business through this significant regulatory change.