Inland Revenue 'glitch' produces 600 false demands

A Taihape woman had a shock on Saturday when she received a $359.02 bill for outstanding income tax. There was a shock for her husband too, when he got one for even more money.

Neighbourhood Support co-ordinator Angela Oliver and her husband were victims of what the Inland Revenue Department is describing as a "glitch" that has seen about 600 incorrect tax demands sent out.

Mrs Oliver knew she was up to date with tax and after a day on the phone managed to sort the matter out with the IRD.

But she is worried that others might be worrying about the bill or might even pay it when they don't need to. "I'm really quite concerned. For me and my husband it wasn't a problem after we called IRD, but for some people it could be a big issue," she said.

"I think people may just pay it - I'm looking at it from a community point of view."

Mrs Oliver said people who thought they had been falsely billed should check with Inland Revenue.

Yesterday, the IRD confirmed about 600 incorrect demands, due on February 7, were mistakenly sent out nationwide.

Group manager of collections David Udy said the glitch was being taken seriously and urged anyone who thought they had received a false demand to contact the IRD.

"We understand that such mistakes can be very upsetting and we apologise to people who may be affected," he said.

"We process 6 million transactions each year and from time to time we do make mistakes."

Mr Udy said the IRD would review its systems and procedures to prevent a recurrence.