More Kiwis than ever are in debt to the IRD, and one expert has a theory about why it's gotten so bad. 

As of March this year, more than half-a-million people had debt to Inland Revenue, and overall tax debt sat at $9.4 billion, of which Inland Revenue said 62 percent, or $5.9 billion, was collectable.

Chartered Accountants Australia New Zealand lead, John Cuthbertson, says there's been a significant build-up of debt, largely as a result of the Covid-19 pandemic.

"As debt ages, it becomes harder to collect - and we know that about 43 percent of it is over 2 years old. So once you get into that territory, it gets harder and harder to collect." 

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More Kiwis than ever are in debt to the IRD, and one expert has a theory about why it's gotten so bad.&nbsp;
As of March this year, more than half-a-million people had debt to Inland Revenue, and overall tax debt sat at $9.4 billion, of which Inland Revenue said 62 percent, or $5.9 billion, was collectable.
Chartered Accountants Australia New Zealand lead, John Cuthbertson, says there's been a significant build-up of debt, largely as a result of the Covid-19 pandemic.
"As debt ages, it becomes harder to collect - and we know that about 43 percent of it is over 2 years old. So once you get into that territory, it gets harder and harder to collect."&nbsp;
LISTEN ABOVE

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Whether you’re a small business owner or interested in what’s going on in the Big End of Town, this podcast encompasses the sharpest voices and minds in the world of business.

Best of Business is the home of all things business at Newstalk ZB, from morning market updates right through to incisive interviews with New Zealand’s top business leaders and decision makers. Whether you’re a small business owner or interested in what’s going on in the Big End of Town, this podcast encompasses the sharpest voices and minds in the world of business.

Best of Business is the home of all things business at Newstalk ZB, from morning market updates right through to incisive interviews with New Zealand’s top business leaders and decision makers.

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John Cuthbertson: Chartered Accountants Australia New Zealand lead on the number of Kiwis in debt to the IRD

https://api.omny.fm/orgs/7784f840-c291-422a-924b-ad9000bbad71/clips/1f6c9610-72b1-4b8a-85df-b4a300706686/transcript