Some employees are responsible for paying their own PAYE – these are known as “IR 56 taxpayers”. They include private domestic workers, embassy staff, some NZ-based employees of overseas companies, and United States Antarctic Program personnel. IR 56 taxpayers are required to file two forms, and pay their PAYE, by the 20th of the following month.
If there is a general requirement to provide PAYE information when the business process occurs requiring IR56 employees to provide their PAYE information on a payday basis would be onerous for them.
If there is a general requirement to provide PAYE information at the time of the business process it is proposed that IR 56 taxpayers would be required to provide their PAYE information by the 5th of the following month, as proposed for employers unable to access digital services, rather than the 20th as now.
1. Do you agree that IR 56 taxpayers should remain responsible for submitting their own PAYE information, and paying their own PAYE deductions, to Inland Revenue, rather than their employers?
2. Do you think that IR 56 taxpayers should have to provide their PAYE information to Inland Revenue earlier (for example, by the 5th of the following month), or do you think that by the 20th of the month following payment is still sufficient?