Crypto gains? Make your tax bill easier
to manage
If you’ve been reassessed or made a voluntary disclosure and now have extra income tax to pay from your crypto trading, there’s good news.
Tax Traders may be able to help reduce your interest and eliminate late payment penalties, making things a lot less stressful.
Owing additional income tax can be costly
Once tax is overdue, Inland Revenue charges interest daily until the tax is paid.
Late payment penalties may also apply. For income tax, these penalties are generally applied as follows:
• A 1% penalty the day after your payment was due.
Over time, these charges can add up quickly – increasing the total amount you need to pay on top of the original tax bill.
How paying Tax Traders works
We operate a tax pooling account that allows taxpayers to pool their provisional tax payments. Payments deposited in this account are date stamped at the time they are made and held at Inland Revenue.
If someone has underpaid their tax, they can purchase tax from someone who has overpaid into the pool and apply it against their own liability with Inland Revenue.
Tax Traders facilitates the transaction between the two parties at interest rates that are much more favourable than Inland Revenue’s interest rates.
This can make a significant difference when you’re facing a crypto-related tax bill in terms of reducing your interest cost and eliminating late payment penalties.
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1
You pay the tax amount (plus Tax Traders’ interest cost) to us.
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2
We arrange for the date‑stamped tax you require to be transferred from our tax pool account to your Inland Revenue account.
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3
Once Inland Revenue processes the transfer, it treats the tax as if it were paid on the original due date – removing any interest and late payment penalties showing on your account.
Key information – what you need to know about paying with Tax Traders
- The original return must have been filed for the relevant tax year.
- In situations where you’ve told Inland Revenue you have additional tax to pay, but have not filed a return, Tax Traders may be able to help. Your accountant can discuss this with us.
- Flexible payment options are available, including single payments or instalment options, provided the transaction is completed within the legislative timeframe.
- Public Trust holds and approves all payments and transactions with Tax Traders.
- You have 60 days from the reassessment notice date to pay with Tax Traders.
- Approved by Inland Revenue.
Backed by leading crypto tax experts
Doyle Accountants are New Zealand’s go‑to specialists for crypto taxation, regularly working with clients who face unexpected tax liabilities following crypto reassessments, voluntary disclosures or audits.
They’ve spent several years helping taxpayers navigate Inland Revenue rules, optimise their positions and stay compliant in a fast‑moving space.
Here’s what they have to say about Tax Traders.
Doyle Accountants
“Tax Traders provides a practical and cost-effective solution that can significantly reduce Inland Revenue interest and remove late payment penalties. Their team is responsive, the process is straightforward, and it gives our clients breathing room to meet their obligations without unnecessary financial strain. We consider tax pooling through Tax Traders an essential tool for helping crypto investors resolve tax liabilities with clarity and peace of mind.”
Tim Doyle
Director
Tax on crypto gains doesn’t
have to be overwhelming
If you’ve been contacted by Inland Revenue and have additional tax to pay on your crypto or cryptocurrency trading, you’re not alone.
Many investors are finding themselves in this position as crypto activity attracts increased oversight from Inland Revenue.
Tax pooling may be able to help reduce interest costs and remove late payment penalties, giving you more manageable options for paying your crypto tax.
About Tax Traders
Tax Traders is New Zealand’s leading tax pooling provider.
We’re approved by Inland Revenue and operate under the legislated tax pooling framework, which has been in place for more than 20 years.
Since 2012, we’ve worked with thousands of accountants, advisers, businesses and individuals to make paying income tax – including tax on crypto gains – more flexible and more affordable.