Eased Tax Filing Steps Closer
October 8, 2010 New Zealand Taxation
A new Government-instated working group met for the first time in Wellington this week, marking further progress in the Government’s attempts to instate electronic filing procedures for an increasing number of tax documents.
On October 7th the Software Developers’ Working Group met in Wellington for its inaugural meeting. The group was formed by the New Zealand Government after the nationwide Making Tax Easier consultation process, which aimed to asses individuals’ and businesses’ needs in taxation administration. The Working Group will be tasked with working alongside Government bodies to design systems which would ease national businesses’ tax compliance burdens.
During the consultations it was proposed that new software standards be created which would allow commonly used accounting and taxation software packages to communicate directly with the Inland Revenue Department (IRD). Theoretically, this would greatly increase businesses’ ease of tax compliance, and reduce costs. In his address to the Working Group Peter Dunne, Revenue Minister of New Zealand, explained that since the majority of businesses already implement software packages for their financial affairs, it makes perfect sense to use online communication to directly pass on routine pieces of business and tax information, like PAYE and GST data.
According to Peter Dunne introducing routine electronic filing would provide great gains for the economy, however “…this is not something that the Government can do by itself.” He added that the IRD routinely works with private sector software developers and consultants, and the Working Group is comprised of key and talented individuals from the industry.
Photo by jainaj