Time running out for tax change feedback

Feedback on proposed changes to the tax system and government departments sharing information closes at the end of next week.

Inland Revenue's six-week consultation, called making tax easier, closes on July 23.

The main proposal is to help people more easily manage their tax affairs and entitlements online - like internet banking, which could do away with a lot of paperwork, a spokesman for Inland Revenue said today.

This move to online transactions will also apply to businesses -- the proposal is that business' accounting software will be able to take care of routine tax obligations without the need to fill in separate forms.

At the moment, people who think they might get a refund can check online and then request a personal tax summary to confirm they have a refund or a tax bill.

Under the proposal, there would be a much lower risk of errors in PAYE deducted each pay-day, so for many people there would be no end-of-year square-up and refund, but no tax bill either.

The Government also wants to know what people think about proposals to share some information - with appropriate safeguards - with other government departments.

The idea is that people wouldn't have to keep telling several government agencies the same thing over and over.

This should help people swapping between a benefit and jobs, going on parental leave or making student loan repayments.

The consultations document can be viewed at the website www.makingtaxeasier.ird.govt.nz.

- NZPA