Tax Administration (Top of the South Island Flood Event) Order 2021

2021/194

Coat of Arms of New Zealand

Tax Administration (Top of the South Island Flood Event) Order 2021

Patsy Reddy, Governor-General

Order in Council

At Wellington this 22nd day of July 2021

Present:
The Right Hon Jacinda Ardern presiding in Council

This order is made under section 183ABA(4) of the Tax Administration Act 1994 on the advice and with the consent of the Executive Council.

Order

1 Title

This order is the Tax Administration (Top of the South Island Flood Event) Order 2021.

2 Commencement

This order comes into force on its notification in the Gazette.

3 Expiry

This order expires and is revoked on the close of 31 October 2021.

4 Interpretation

In this order, Top of the South Island Flood Event means flooding caused by heavy rainfall in the regions of the West Coast, Nelson, Tasman, and Marlborough in the period beginning on 15 July 2021 and ending on 18 July 2021.

5 Top of the South Island Flood Event declared to be emergency event

The Top of the South Island Flood Event is declared to be an emergency event.

6 Class of persons to whom remission is available

The taxpayers that are physically prevented by the Top of the South Island Flood Event from making a payment required by tax law on or before the due date for the payment are a class of persons to whom a remission under section 183ABA of the Tax Administration Act 1994 is available in relation to the event.

Michael Webster,
Clerk of the Executive Council.

Explanatory note

This note is not part of the order, but is intended to indicate its general effect.

This order, which comes into force on its notification in the Gazette, declares the Top of the South Island Flood Event to be an emergency event for the purpose of section 183ABA of the Tax Administration Act 1994.

The order will apply to taxpayers that are physically prevented by the Top of the South Island Flood Event from making a payment required by tax law on or before the due date. For example, this will include individuals and companies that are prevented from making PAYE payments to the Commissioner of Inland Revenue because staff or tax agents are unable to access the relevant building or because the records have been destroyed.

The effect is that taxpayers may ask the Commissioner of Inland Revenue to remit interest charged under Part 7 of the Tax Administration Act 1994 for failing to make payments on a due date. The Commissioner may then remit the interest if the Commissioner is satisfied that—

  • it is equitable that the interest be remitted; and

  • the taxpayer asked for the relief as soon as practicable; and

  • the taxpayer made the payment as soon as practicable.

The order expires and is revoked on 31 October 2021.

Issued under the authority of the Legislation Act 2012.

Date of notification in Gazette: 22 July 2021.

This order is administered by the Inland Revenue Department.