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As many as 170,000 people are at risk of missing out on the Government's $350 Cost of Living Payment, because the Inland Revenue Department (IRD) doesn't have their bank account numbers.
Addressing Parliament's Finance and Expenditure Committee, IRD acting commissioner and chief … View moreAs many as 170,000 people are at risk of missing out on the Government's $350 Cost of Living Payment, because the Inland Revenue Department (IRD) doesn't have their bank account numbers.
Addressing Parliament's Finance and Expenditure Committee, IRD acting commissioner and chief executive Cath Atkins said she is confident the tax department can track down most of these people.
It has already sourced around 130,000 bank account numbers, which it didn't have.
But IRD believes it'll struggle to contact 11,000 of the 170,000 people it still needs to get hold of.
Around 2.1 million people, who earn less than $70,000 a year (before tax) and don't receive the Winter Energy Payment, are eligible for the payment, unveiled at the May Budget.
Atkins said as many as 750 IRD staff will be required to administer the scheme at peak times when payments fall due.
She said 300 of these staff are being contracted for a five-month period, largely to deal with inquiries from the public.
The payment will be paid in three monthly instalments of $116.67 starting from August 1.
Those eligible don't need to apply; they'll receive it automatically. But they may like to check, via the myIR online portal, whether IRD has their correct bank account number.
People have until March 31, 2023 to update their details with IRD to get the payment.
Finance Minister Grant Robertson has allocated $814 million towards the payment.
IRD confirmed $14m of this will go towards the 300 contractors' wages, office space, IT infrastructure, postage and printing.
Pressed by National MPs Andrew Bayly and Nicola Willis about the cost associated with administering the payment, Atkins said some of the contractors had been working on projects that are wrapping up, including IRD's Business Transformation project, and Covid-related support.
She said it was important IRD was adequately staffed to address public inquiries, which are likely to escalate when payments fall due.
Green MP Chlöe Swarbrick asked Revenue Minister David Parker, who also appeared before the committee, whether IRD would be able to employ fewer contractors if the payment was more universal.
Parker said this would simply cost a lot more.
He also said employing 300 contractors isn't as material as one might think, given IRD has been cutting staff in recent years.
It employed 4106 full-time equivalents in the year to June 2021 – a drop from 5401 in 2017.
Parker said IRD needs to be able to continue doing its other work while it administers the Cost of Living Payment.
He said IRD having more people's bank account numbers will also make the tax system more efficient in the long term.
National Party finance spokeswoman Nicola Willis characterised the Cost of Living Payment as a "bureaucratic dog's breakfast".
"IRD is now having to build a massive bureaucracy to administer it, and taxpayers are being landed with the bill," she told.
She questioned exactly how much the 300 contractors were being paid, noting IRD's recruitment effort is taking place at a time the labour market is exceptionally tight. IRD wouldn't disclose this information.
Furthermore, she said, "Far from targeted, IRD has confirmed that many high-income earners will qualify while thousands of lower income earners will miss out due to missing bank account details.
"Instead of going into bureaucratic overdrive, the Government should have simply inflation-adjusted existing income tax brackets."
Act leader David Seymour believed the Cost of Living Payment exemplifies "rushed policy by ministers who don't ask practical questions".
"The payment is inflationary to the extent that it helps," he told.
"The Prime Minister said, earlier in the week, that she didn't think it would be inflationary because it wouldn't last very long. Well, it also makes it less effective at achieving its underlying goal.
"There are a whole lot of reasons why it's not a good policy. The only conclusion you can come to is, they felt a need to do something to address the political imperative of having an answer to the cost of living crisis."
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The next Entrust dividend will be paid in late September. Everything you need to know is in your letterbox or email inbox. Check your details carefully and tell us of any changes as soon as possible.
That way, we can make sure that when the dividend is paid you’ll get yours ASAP.
Did you know that there are children in Auckland who a cold at night because they do not have pyjamas? Presbyterian Support and Family Works are having a Pyjama Drive. Any donations would be welcomed.. See the poster below for details
Suit lady or girl Wheeler 3000CX mountain bike + helmet. Gears need abit of attention but otherwise good condition.
Anybody has surplus mulch to give away please send me a text and I will collect 0275 828 978 Keith Thanks
Ponsonby School of Dance has been teaching Royal Academy of Dance ballet, jazz, contemporary, hip hop and musical theatre in Ponsonby for the past 20 years. PSOD have just relocated to beautiful new custom-built studios at 5 Lincoln St.
We pride ourselves in creating a fun, friendly and safe … View morePonsonby School of Dance has been teaching Royal Academy of Dance ballet, jazz, contemporary, hip hop and musical theatre in Ponsonby for the past 20 years. PSOD have just relocated to beautiful new custom-built studios at 5 Lincoln St.
We pride ourselves in creating a fun, friendly and safe environment where we encourage students to believe in themselves and their ability. Whether you are looking to dance just for fun or if you were wanting to take dance more seriously then PSOD is the second home you are looking for. We offer examinations in all genres, competitions for troupes and solos and don't forget our wonderful end of year show.
AVS TCC1500B
The TCC range from AVS offers a fantastic way to display all of your AV equipment by incorporating the best in open architecture. This 1500mm open-style rack features three toughened black glass shelves, four leg stability and a cable management system.
1500W x 450D x 530H
CleanFlush® patented rimless flushing technology: easy to clean, water efficient with superior hygiene
Unique drop zone and bowl design minimises cleaning
Uni Orbital® connector: allowing for easy fit with sideways adjustment
Pans are load tested to 800kg: 2 x AU standard
Vitreous China … View moreCleanFlush® patented rimless flushing technology: easy to clean, water efficient with superior hygiene
Unique drop zone and bowl design minimises cleaning
Uni Orbital® connector: allowing for easy fit with sideways adjustment
Pans are load tested to 800kg: 2 x AU standard
Vitreous China glazing: denser, durable and stain resistant
Pendant light EGLO RAZONI
An exotic range from Eglo of Austria. The Razoni pendant brings a warm, relaxed feeling into any environment.
Enclosure material: steel
Enclosure colour: black
Glass/Shade material: satin glass, steel
Glass/Shade colour: black, white
Height: 1,300mm
Diametre: … View morePendant light EGLO RAZONI
An exotic range from Eglo of Austria. The Razoni pendant brings a warm, relaxed feeling into any environment.
Enclosure material: steel
Enclosure colour: black
Glass/Shade material: satin glass, steel
Glass/Shade colour: black, white
Height: 1,300mm
Diametre: 190mm
Net weight: 1.54kg
including LEDlux Globe A67 E27, dimmable, 13W, 1520 Lumens (warm white)
As partners of the Elemental festival, Stuff Travel is giving away 2 amazing packages! For each you'll win 2 nights of luxury stay at Fable Auckland with a welcome dinner and daily breakfasts. You'll also get tickets to either the Takurua - Nafanua, The War Goddess or the Auckland Fried … View moreAs partners of the Elemental festival, Stuff Travel is giving away 2 amazing packages! For each you'll win 2 nights of luxury stay at Fable Auckland with a welcome dinner and daily breakfasts. You'll also get tickets to either the Takurua - Nafanua, The War Goddess or the Auckland Fried Chicken Festival.
Flights included for those out of Auckland.
A mother of two with polio disease who has been waiting for an accessible house for five years says she can’t sleep because of the stress.
Safiya Abdi has lived in a two-bedroom Kāinga Ora rental in Auckland’s Mt Roskill for 16 years.
She now requires a bigger property which is easier for… View moreA mother of two with polio disease who has been waiting for an accessible house for five years says she can’t sleep because of the stress.
Safiya Abdi has lived in a two-bedroom Kāinga Ora rental in Auckland’s Mt Roskill for 16 years.
She now requires a bigger property which is easier for her to navigate on crutches and with enough space for her growing family.
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