Govt writes off $5b tax debt

  • 10/01/2015

The Government has written off nearly $5 billion in tax debt since coming to power, which the Opposition says tells a different tale to the touted "rock star" economy.

Since the financial year ending in 2009 the Government had written off $4.9b in tax debt for more than one million people.

Labour MP Stuart Nash, who released the figures, said 720,000 New Zealand companies had also had their total tax liabilities written off because IRD assessed their ability to ever repay the debt as zero.

"There are two sides to the New Zealand economy under the National government: the 'rock star' economy trumpeted by Finance Minister Bill English and the one we don't see or hear about."

In the 2014 year the Government wrote off $930 million for 169,000 people.

This was up from $722M written off for 255,000 people in the 2009 year.

The write-off value excludes child support debt. It includes student loan, kiwisaver, working for families, penalties and interest.

NZN

source: newshub archive