PROVISIONAL TAX

Press, Volume CVI, Issue 31158, 7 September 1966, Page 16

PROVISIONAL TAX

Final Day For Payment

Today is the last day for the payment of first instalments on provisional tax to the Inland Revenue Department.

Provisional taxpayers who fail to make the one-third payment by today are liable to a penalty of 10 per cent of their total tax for the current financial year. The Deputy District Commissioner of Taxation (Mr C. K. Jones) said that about 20,000 provisional returns had already been received and about 15,000 were due.

To cope with the big windfall of returns expected today and tomorrow, extra staff will b.- engaged in issuing receipts for payment. Whereas normally two or three people handle receipts for provisional tax, up to 25 will work on them until most are cleared. Mr Jones said it was evident many accountants were encouraging their clients to pay half their provisional tax now and the balance at the end of the year. Although they were required to pay only one-third now, taxpayers could pay half or more if they wished to avoid a heavy payment at the end of the year. Mr Jones said the department had become concerned that some employers were making a habit of paying tax deductions late. The department in future would charge penalties when there was no good reason for a delay.