Customs collects more than $15 Bn for Crown in the past year
10.46am 18 October 2019 | News
Customs collected $15.543 Bn in revenue on behalf of the Crown in the year to 30 June 2019 – up 8.1 per cent, or just over $1 Bn, on the previous 12-month period.
Each year Customs collects approximately 18 per cent of core Crown tax revenue, including customs duty and GST on imports and excise duty on tobacco, alcohol and fuel. Customs also collects various other levies at the border on behalf of government agencies.
Richard Bargh, Group Manager of Revenue and Assurance, says that these figures illustrate the significant revenue collection role that Customs plays in New Zealand.
“Customs revenue collection supports the funding of essential Government services. We collect Crown revenue efficiently and effectively by focusing on voluntary compliance and improving revenue risk management. 99.5 per cent of revenue is collected electronically, and we continue to look at ways to make it even easier for payments to be made.”
“Enabling traders to assess the revenue they owe supports the flow of goods into the economy. We operate strong assurance processes to ensure traders pay the correct amount and all duty payers are treated equally and fairly.”
“Customs undertakes targeted activity to ensure traders comply with the law, and takes appropriate action on non-compliance. For example, last year, we tackled revenue evasion by intercepting more than 4.6 million illicit cigarettes and nearly 642 kg of illicit loose tobacco. This amounts to the evasion of $6.2M in duty and GST payments. This figure is a significant increase on the previous financial year.”
“$51M was also identified last year through checks, audits and voluntary disclosures. It is very pleasing to see businesses take advantage of our voluntary disclosure rules to update their own assessments and return the correct amount of duty,” says Richard Bargh.