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Implementation of committee's tax recommendations

23 February 2000

Implementation of committee's tax recommendations progressing well

"Contrary to what the Hon Peter Dunne may believe, this Government is not going soft on the recommendations of the Finance and Expenditure Committee regarding the powers and operations of the IRD," the Minister of Revenue the Hon Dr Michael Cullen said today.

Dr Cullen said that the Government supported the vast majority of the Committee's 27 recommendations.

"Substantial progress had been made on both the policy recommendations and those that related to the administration of the Inland Revenue.

"The Inland Revenue had already implemented a number of the recommendations.

And in respect of the majority of the recommendations not yet implemented, work was progressing well.

"A good example is the policy work on the proposals relating to the compliance and penalties rules which is already under-way."

Dr Cullen noted that one recommendation where no decision has yet been made concerns moving the responsibility for drafting tax legislation from Inland Revenue back to the Parliamentary Counsel Office.

He says this issue required careful consideration and the Government would be giving it a high priority.

"The significant progress that has already been made on the vast majority of the recommendations was a clear illustration that this Government takes the Committee's recommendations very seriously indeed," Dr Cullen said.

ENDS

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