IRD calling or visiting about your tax debt: what to expect and how to check

Plenty of business owners let an unknown number go to voicemail, especially when they suspect who it might be. If IRD is calling about overdue tax, though, that call is often the best chance you’ll get to sort things out on reasonable terms. Here’s what IRD’s contact usually looks like, how to make sure it’s genuine, and how to get the most out of the conversation.

How does IRD contact businesses about overdue tax?

IRD has been open about its approach. In 2025, it described an escalation that moves from calls, to visits, to bank deductions, to insolvency action. From mid-June 2025 it issued 16,500 deduction notices, and its October 2025 calling campaign focused on debts over $1,000 that were between six months and five years old (IRD media release).

For overdue GST and employer debt, IRD’s 2025 campaign followed a set pattern: three contact attempts, then a Community Compliance visit, then a bank deduction “when other collection options are not suitable” (IRD).

Contact can come by phone, text, email, myIR message, letter or in person.

What is a Community Compliance visit?

It’s a visit from IRD staff to your business. Visits often follow calls that haven’t led to returns being filed or payments being made. They’re not raids. They’re a direct way for IRD to understand what’s going on and agree next steps. If you’re told a visit is booked, prepare for it the way you would for a meeting with your bank.

How do you know a call is genuine?

Tax scams are common, so caution is sensible. A few rules keep you safe:

• Never give out passwords or myIR login details. A genuine IRD contact doesn’t need them.
• Be wary of pressure to pay immediately by an unusual method, such as gift cards, cryptocurrency or a personal bank account.
• If in doubt, hang up and call back on a number listed on ird.govt.nz, not one given to you by the caller.
• Check myIR. If IRD says you owe money, the balance and recent notices will be there.

Why might a collection agency call about tax?

In 2025, IRD ran a pilot in which a private debt collection agency contacted about 3,000 customers with tax debts under $5,000. IRD said the agency would not ask for passwords, card or bank details, and could not use the information for credit rating (IRD). If an agency contacts you about tax, verify it with IRD directly before discussing anything.

IRD has been calling? Before you agree to a plan, find out whether funding could clear it in one go. Start a 60-second enquiry, with no credit check.

How should you prepare for the conversation?

You’ll get a better result if you go in with facts. Have these to hand:

1. Your myIR balance, by tax type and period.
2. The status of your returns. If any are outstanding, have a date by which they’ll be filed.
3. A realistic weekly or monthly figure you can pay without falling behind on new tax.
4. A short explanation of how the debt arose and what’s changed.
5. Your other options. If you know a loan could clear the debt, or part of it, say so. IRD’s own relief form asks companies whether they’ve tried to get a loan (IRD).

What should you say, and not say?

Do	Don’t
Be honest about what happened	Promise amounts you can’t sustain
Offer a specific plan and dates	Agree to a plan on the spot if you need to check numbers
Ask what IRD needs to agree an arrangement	Ignore follow-up emails or myIR messages
Ask for any agreement in writing	Assume a friendly call means enforcement is paused

Our page on negotiating with IRD covers what owners can do themselves, and when to involve an accountant or lawyer.

What happens if you don’t respond?

The next steps become firmer: a visit, then likely a deduction notice to your bank. For companies, further steps can include a statutory demand, credit reporting for larger debts, and a liquidation application. The cost also grows, because penalties and use-of-money interest keep adding to the balance. Our escalation timeline explains the order.

An illustrative example

Illustrative only. Not a real client and not an offer.

A Tauranga beauty clinic owes about $22,000 in GST. The owner has ignored three calls from an unfamiliar number. When IRD texts to book a visit, she rings IRD back on the number from its website, confirms the balance and asks for a week to come back with a proposal. She checks whether a small cash-flow loan could clear it, compares the dollars against a six-month arrangement, and chooses the arrangement because her takings comfortably cover it.

Can you bring someone to a meeting with IRD?

Yes. Many owners ask their accountant to join a call or attend a visit, especially if returns are behind or the numbers are complicated. You can also authorise your accountant to talk to IRD for you. Just make sure you stay involved, because you’re the one who has to keep to whatever is agreed.

Take the call, then take the next step

If IRD has been in touch about your tax debt, let us help you work out your options. Enquiring doesn’t involve a credit check, your details aren’t spread around other lenders, and a real person will call you back. Please give us accurate figures, including what you owe and what you can afford each month, so we can tell you whether funding, an arrangement or a mix of both makes sense.