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Business Integration

Is it okay for Inland Revenue to work with third parties?

Inland Revenue has been working with providers in the past year on ways for customers to submit their GST returns as part of their existing business processes.  The trial has been very well received and Inland Revenue is planning to make this service more widely available. AIM is a second step in continuing this business integration.

Businesses using AIM will be able to calculate and pay provisional tax directly from accounting software. This will reduce their compliance costs, and make the amount of tax payable more visible throughout the year rather than it being a year-end surprise. Removing the threat of use of money interest and being able to access refunds of overpaid tax throughout the year will be a significant benefit.

We are interested to hear how comfortable you are with Inland Revenue continuing to work with third parties (like software providers) to ensure the calculation and payment of taxes becomes part of the running of your business and not a separate year end process.

Comments

Kelly
I'm happy with a level of integration that makes filing tax returns accurate and easy for me and that I can do with minimal or no input from my accountant. I am about to start doing my GST returns via Xero because I feel they're a reputable accounting software provider, so adding on other returns such as provisional tax would be ideal. I do think there needs to be a commitment from the IRD to respect the confidentiality of a privately run business, but otherwise I have no issues

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3 months ago
Alan Roberts
Yes happy with that

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2 months ago
Jane Fitzgerald
More than happy for you to discuss issues with software providers to ensure the calculations and payments of taxes are done using the correct methods

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2 months ago
Chris
Happy for IRD to work with third party firms e.g. Xero, MYOB etc to have data exchange. However the law should allow for users who don't want to use pay as a service software to also file under the same method. e.g. I use MYOBv19.5 as this was the last version where I do not have to pay a monthly fee for my accounting software and I will stay on this version.

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2 months ago
Debbie Dawson
I am comfortable with this.

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2 months ago
Hayden McCall
Yes absolutely. But make sure you are keeping ALL providers informed (not just Xero and MYOB), and that you include the NZ IT media in notices to inform the broader tech/business community. I'm surprised that the conversation seems to be focused on what's involved with updating software packages directly, rather than providing a standardised messaging gateway and web portal for adjustments and cross-checks prior to submitting each return. There is a risk that those close to the process get a commercial advantage by influencing the design of solutions and delivering them faster than the wider software market.

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2 months ago
Jason Price
Hayden's point is well made and absolutely right. This process could work just as well for offline software packages by means of completing a return or some other simple self-completed online process, just like GST returns (I'm sure you can figure out the logistics and options better). If the software package can calculate the required amount, it shouldn't be a requirement to be able to connect to IRD electronically only available via 'approved' providers.

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2 months ago
Tish Brindle
Agree completely. As a well established NZ based Accounting Software provider, finding out about the proposed GST API via the IRD newsletter, and then being told by the IRD that the trial was exclusive to Xero and MYOB did feel like the IRD is playing favourites.

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2 months ago
Mark Jones
yes happy with that idea, expecially if it saves us money in the long run.

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2 months ago
Bruce Miller
As a small business with predictable expenses and a slightly less predictable income, I can only see advantages from paying provisional tax from accounting software, with no disadvantages.

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2 months ago
John W
No problem to use third parties

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2 months ago
Chris Davidson
Happy with this

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2 months ago
M R David
Absolutely the more streamlined the system the better. Ie working off actual payments receievd rather than speculating

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2 months ago
M R David
Absolutely the more integration the better

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2 months ago
Mark Withy
I would be happy if the integration is a hand shake process where the final data is sent once approved in the accounting system. For example I use Xero and once using the save to final function happy for the summary data required to complete the return to be sent to a third party. I do not want to provide any third party full access to the data sitting in Xero whether by export or direct interrogation.

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2 months ago
Stephanie
No. Not for us. Direct online with IRD please.

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2 months ago
Sue Williams
Very happy for this to continue. It makes my life easier if my accounting software is designed to link directly with IRD

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2 months ago
Scott Mesarich
Yes, I like this option and am happy with IRD working with third parties for this reason.

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2 months ago
stephanie
Not at all comfortable. Would only submit information directly to IRD. Collective company data, if provided to software firms would become a tradeable commodity for them.

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2 months ago
Paul Clymer
Happy with this

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2 months ago
Sax
I've been using Cashbook Easylink for decades. It works well and integrated with my accountants system via Excel files. I run three businesses and depend on my accountant's advice to ensure I and each entity mustache correct amount of tax. I think the proposed automatic system would be difficult for me to introduce. I'm happy paying provisional tax 3 times a year with GST payments.

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2 months ago
Tessa Curach
I use MYOB v19.5 and do not pay for it monthly like Xero. So not sure about the 3rd party thing.

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2 months ago
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