In New Zealand, the Inland Revenue Department (IRD) holds and manages the nation’s taxation system. Every individual and entities that have financial activities is required to have a unique IRD (Inland Revenue Department) number known as IRD number. IRD number New Zealand helps to track taxpayers, their financial activities, and their obligations under the tax laws of New Zealand.
An IRD number helps IRD (Inland Revenue Department) to ensure that the taxpayers comply with their tax responsibilities. By having an IRD number Govt. can easily monitor income tax, goods and services tax (GST), and other tax-related transactions, and accountability in the financial landscape.
What is an IRD (Inland Revenue Department) number?
The IRD number was introduced in New Zealand dates back to the mid-1960s. Inland Revenue Department Number assigned to taxpayers by New Zealand Tax authority IRD (Inland Revenue Department). It helps to ensure taxpayers follow the tax laws.
IRD number helps taxpayers to keep track of the tax pay and helps make sure to pay the right amount or get the right entitlements. It’s unique to taxpayers. If a taxpayer has a company, trust, partnership or other type of business, it needs a different IRD number for each one.
You may visit our NZ GST Calculator for calculator your GST.
Who Needs an IRD Number?
In New Zealand, various individuals, entities need to have an IRD number for tax and financial activities.
- Residents: Including permanent residents, and citizens required to have an IRD number. This includes individuals who lived in New Zealand for more than 183 days in any 12-month period.
- Non-Residents with New Zealand Income: Non-Residents who earn in New Zealand are also required to have an IRD number.
- Business Entities: Any entity who has a company in New Zealand also required to have an IRD number. This issuer of proper identification and taxation of business.
- Employees: Individuals who work as contractors or employees are also required to have an IRD number.
Also read about: Cancellation of GST Registration in New Zealand
How to Apply for IRD Number New Zealand?
Once you applied for an IRD number, you’ve just 60 days to take your original documents to AA driver licensing agent. They need to verify your identity before you get your IRD number.
1. Gather your identification documents
You’ll need 1 of these A documents:
- New Zealand (NZ) passport.
- Overseas passport with a New Zealand residence visa granted by Immigration New Zealand.
- Full New Zealand birth certificate issued after 1 Jan. 1998.
- New Zealand citizenship certificate.
- New Zealand firearm or dealer licence.
- New Zealand certificate of identity from the DIA (Department of Internal Affairs) or the Ministry of Business, Innovation and Employment (MBIE).
- New Zealand refugee travel document.
- New Zealand emergency travel document.
You’ll need 1 of these B documents:
- New Zealand driver licence.
- Overseas driver licence.
- New Zealand 18+ card.
- Kiwi Access Card – replaces the HANZ 18+ card.
- HANZ 18+ card – existing cards are valid until their expiry dates.
- New Zealand student photo ID.
- International Driving Permit.
If you’ve changed your name, you’ll need a proving document it can either:
- Marriage or civil union certificate.
- Name change certificate.
2. If applying for your child’s IRD number
As well as you’ve gathered your document for yourself, you’ll need at least one following document for your child.
- Current New Zealand passport.
- Full New Zealand birth certificate issued after 1 Jan, 1998.
- New Zealand citizenship certificate.
- New Zealand student photo ID.
If your documents do not show your relationship with your child, you’ll need at least one following documents:
- Adoption papers.
- Parenting orders
- Guardianship orders.
- Statutory declaration IR595D form.
3. Scan your documents
Make sure you’ve electronic copies of your documents you’ve chosen. You need to upload them while applying for an IRD number online. For a passport you need to scan the pages showing your photo and names.
4. Get certified translations for documents not in English
If your documents are not in English language, you need to translate into English by an approved translator. Your translation will need to be certified. You can visit Waka Kotahi transport agency to see approved translators.
5. Get your documents verified
Once you’ve applied online, you need to go to an AA driver licensing agent for verification within 60 Days. Note that only the AA Centres verify documents. The AA Auto Centres do not do this.
6. Apply online
What happens next
When an AA driver licensing agent approves your documents, you’ll receive an IRD number by text or Email within 10 days if you apply online. But if you apply through paper you’ll get your IRD number in 12 working days.
Also, read about: How to Lodging a tax Return in New Zealand?
How the IRD number is used for tax-related activities
The IRD number plays a crucial role in tax-related activities. Taxpayers use this in various tax related activities:
- Filing Tax Returns.
- PAYE Deductions.
- Tax Assessments and Notices.
- Claiming Tax Credits and Benefits.
- Tax Compliance and Audits.
- Business Taxation.
- Identifying Taxpayer Records.
FAQs
