New Zealand Working Holidays: Income tax return tutorial. PTS confirmation & payment.

After applying for PTS (Personal Tax Summary) and after several months of waiting, we finally get to the PTS confirmation and payment processing to your account.


In the first part of the Income-tax return from New Zealand tutorial, I describe how to calculate whether or not you owe a tax surcharge and how to apply for a Personal Tax Summary (PTS). You can apply for PTS for the previous period any time after the end of the tax year, that is March 31st.


After several months following the date of the PTS request (which I made in April), in myIR (web) you will discover an option to confirm your approved PTS (Confirm PTS). In my case, this option was activated at the beginning of June.


In the Income Tax (Account Information) box, check the amount of the arrears or overpayments. I would like to remind you that by applying for the PTS you have agreed to the terms of the IRD and have undertaken to pay any tax arrears.


However, the overall balance should not fundamentally differ from the initial calculation at the beginning of the entire process described in the first part of the tutorial. If the result is marked as credit, then this part of the tax will be refunded (Refund, Return).


Continue by clicking Confirm PTS.


In the following section, you will be asked to review and confirm the data in 3 sections: Expenses claimed, Income from salary, wages, benefits or taxable pensions and Income from Interest, dividends, and taxable Maori authority distributions.

Then, click each item in the Details you need to check section. Go through Expenses (not applicable to the vast majority of backpackers, enter NO), check your gross earnings, and whether the calculation includes all your earnings for that period in the Income from salary, wages, benefits or taxable pensions section. The last time they ask you if you have not received interest, dividends or taxable Maori payments during the mentioned period. Here, again, the vast majority of people respond NO.


After clicking through all three sections, confirming and checking all the details, the links will be moved to the Details you have checked and you will continue by clicking on Calculate my tax summary.


The following screen gives you a complete overview of your income and tax calculation. At the end of the calculation, verify the final amount of the Tax Refund - the amount you will get back. Also, check your bank account number in the Income Details section where the Refund will be sent.


Confirm the calculation by clicking Confirm and send to Inland Revenue.


Finally, you will receive a confirmation of successful transmission of PTS and payment information. In case of a bank transfer, you should receive your payment within 4 business days on your bank account. I got it in 2 days.


For more information, visit the IRD website.

Congratulations, your first Tax Refund is successfully completed!!!