01 Oct Online Fraud
We have written about this on previous occasions, but we are seeing a big increase in the instance that they occur: online scams. There is a reason that they are on the rise – they are incredibly profitable for the perpetrators. That ‘profit’ is money from their victims – you and me.
This article from the BBC talks about how some common email based ‘spoofing’ frauds work, it’s well worth a read. Alarmingly, they point to an estimate from the FBI, saying that since 2016, such fraud has cost the worldwide economy $26 billion (US dollars), which at today’s exchange rate is a scratch over $41 Billion NZD.
To put that in perspective, the Reserve Bank estimated that the entire Christchurch rebuild would cost $40 Billion.
More worryingly, as bigger businesses tighten up their security, particularly around top executives, cyber criminals are increasingly going after easier targets – i.e., smaller business and individuals.
On a weekly basis we see people who have been targeted with fraudulent emails purporting to be from IRD. They often look official and either suggest there is a decent refund awaiting the recipient or more insidiously, state that the target owes a significant tax debt and that if payment isn’t made immediately, the police will be dispatched and you will be dragged off kicking and screaming to jail. Of course, both are completely untrue.
For all our tax clients, you shouldn’t be receiving something unexpected from IRD. If you do, check the latest scam alerts page, and if you’re not sure, contact us.
Speaking of tax
IRD’s rollout of their new computer has had some unexpected consequences. One of which is how IRD now handle late payments or underpayments of provisional tax. IRD has the power to change the terminal tax date if you’re deemed to be not up to date with your tax payments. We won’t bore you with the technical details, but this generally results in significantly more interest and penalties and some nasty (real) letters from IRD.
If you find yourself in a position that you can’t make a tax payment on time, please let us know as there are a couple of options we can explore which will minimise the cost to you.
If you’re not if you’re up to date with your tax payments, please contact us and we can check for you.
