IRD taking keen interest in Brightline
June 23, 2021
We have recently had communication from the IRD regarding the new Brightline rules, confirming that moving forward, the IRD may request further information relating to property transactions.
They will now start issuing Brightline letters to customers and/or Tax Agents (Greenlion being yours) via the myIR portal as they become aware of potential Brightline transactions, which they pick up from Land Transfers. These will usually be sent out by the IRD within a month of the transaction being registered, to give taxpayers a heads-up of their possible tax obligations.
They are yet to complete a couple of catch-up rounds regarding property sales that have taken place since November 2020, do not be surprised if they contact you if you have been involved in a residential property sale.
A gentle reminder, if the IRD do request you to provide information, do contact us before providing them anything.
Also with this in mind, we would suggest that if you’re undertaking property transactions, or plan to, Audit Shield Tax Audit Insurance may be of benefit to you to ensure you have cover for our assistances with any queries or audits by the IRD.
Should you have any queries on whether you have cover, or wish to discuss this further, please feel free to contact us, or call Megan directly to discuss.
Your Greenlion Team