Depending on how,much, a low interest credit card can be cheaper and easier to get than a loan. I agree, talk to,the IRD as soon as you can and work,out a,plan.
easygoer,
May 16, 9:05pm
I doubt that Kiwisaver would be accepted as collateral anyway, if the loan defaulted, the bank would not be able to collect on it
mojo49,
May 16, 9:18pm
As a CA I can tell you I work with IRD often making arrangements for people to pay off their tax. IRD are happy to get the tax and will write off penlaties and sometimes some interest once the tax is paid. A simple phone call asap to IRD It is by far the best way to deal with the problem. It will enhance his relationship with IRD and carry the least extra cost.
lazkaz,
May 16, 9:32pm
This - also suggest a budgeting service to your son, there are free budget services and well worth the effort. I helped many young ones with budgeting when tutoring literacy. I instilled good savings plans for my boys - but they still run up the bills without thinking, I do not help them out now.
aloha3,
May 17, 11:40am
lyingnun wrote: Can he not work out a payment plan with IRD?[/quote This. Talk to the IRD and they will take extra out of his wages and charge fees.
sunnysue1,
May 17, 1:46pm
Gosh it is great to see so much positivity for the IRD. they really are people like you and I just following the laws of the land.
maclad,
May 17, 5:30pm
Agree and my boy will go see them now to work out future time payments, now he has info he needed. Thanks.
golfdiver,
May 17, 6:11pm
Let us know how the IRD address this if you can OP. It would be interesting to know. I imagine it’s like worksafe and if you frontfoot it and go to them, they will be very accommodating. On another note, I see no deleted posts so that’s a wasted 0900 call at $1.99 a minute for the resident bark and busybody. Nods
maclad,
May 17, 7:26pm
I have no idea what that post was about. Will take my slow to react son a bit of time to sort but yes I will try and get back to you, will keep on his back. I expected to be shot down big time on this post but have been pleasantly surprised. Thanks everyone. I love my kids, even if they are slack and will try and help them. to a degree, but this time he will have to sort on his own now he has all the info. He needs to do this.
articferrit,
May 17, 7:42pm
IRD are a lot better to deal with these days, but it pays to front up as soon as possible and tell your son ignoring it will only make it worse and it will not just 'go away'. Tell him hes an adult and its time to put the big boy pants on. Good luck.
maclad,
May 17, 7:51pm
Thanks, have done and believe he taking it seriously this time. Kids are so different now to how I remember them being when was younger, thanks everyone. Will get this sorted now. Young and bullet proof, ha, ha, ha, yea rite, NOT
supernova2,
May 17, 9:18pm
I'm sure the IRD will do what they can to help out but it's still going to be expensive with interest etc. The best long term plan is proper budgeting and paying what you should when you should. Yes I know easier said than done.
benthecat,
May 18, 7:04pm
Of course you can. What you can't borrow for is gambling. although some investments I would consider a gamble and the banks lend for them!
supernova2,
May 18, 8:21pm
It used to be very common for banks etc to decline finance if you told them you needed it to pay tax. I think the finance coys saw it as dead money without any increase in assets to secure for the loan.
thisles5,
May 19, 3:12pm
goose !
mojo49,
May 19, 8:22pm
Making an arrangement direct with IRD is by far the cheapest way to pay off tax. The interest rate is reasonable and when the debt is paid they will reverse all the automated late payment penalties. They are a hugely different organisation to the "little Hitlers" that existed in the mid to late 1900s.
andrew1954,
May 21, 5:56pm
By getting the IRD involved they will also address why he has ended up with a “big tax billâ€. not sure what his circumstance are and income sources, but a bill to pay at the end of the year CAN MEAN someone is not deducting tax at the correct rate. get this fixed so it will not happen next year
maclad,
May 21, 6:42pm
He knew, was all his choice, just looking for a better way to pay this bill than borrowing. So far IRD is looking like a very good bet. Thanks for all the info. Personally I hate owing money and hate my kids owing money so trying to give him a little education.
monsieurl,
Nov 8, 10:41am
I know this is a few days on but he can access his kiwisaver for 'extreme hardships' i recently advocated for a person i support to do this, your sons case may apply here but remember if he has 20k in kiwisaver he'll likely only be able to access 1/2 to 2/3 as Govt contributions don't count.
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