New Zealand’s tax practitioners say their day-to-day experience with IR is improving, according to the 2025 Inland Revenue Satisfaction Survey.

Now in its 16th year, the survey – conducted jointly by CA ANZ and Tax Management New Zealand (TMNZ) – once again offers a ground-level view of how well the tax system is functioning in practice. This time, the message is clear: IR has made meaningful gains but capability gaps and consistency issues still frustrate tax agents.

For IR, there is much to celebrate. Satisfaction levels across key service channels have edged higher, with the myIR platform continuing to strengthen its position as the primary gateway for practitioners. However, they remain candid about what still needs attention, particularly in relation to the capability of the IR employees they engage with and the management of New Zealand’s rapidly escalating tax debt burden.

Tax Management New Zealand (TMNZ) and CA ANZ met IR leaders in November 2025 to discuss the outcome of the survey, to hear how IR plans to respond to the issues raised and to identify ways in which they can collaborate to improve the tax system.

A system moving in the right direction

A notable positive in the 2025 results is the lift in overall satisfaction with IR’s communication and online channels. Practitioners reported a more responsive system, narrower differences between digital touchpoints and a sense that IR is generally easier to deal with than in previous years.

Satisfaction with IR communication channels

“General satisfaction with IR information and interaction channels is at an all-time high,” notes Chris Cunniffe FCA, specialist adviser at TMNZ. He continues that, “96% of members engage with IR through myIR and the satisfaction level on that is relatively high.”

But higher responsiveness has not fully translated into higher confidence. Many practitioners feel the influx of new staff following restructures, retirements and COVID-era disruptions means taxpayers frequently engage with IR employees who are helpful but inexperienced.

As Cunniffe explains it, “They have got people in place to answer the questions, but they’re not always fully trained. Do they understand the issues and do they give consistent service? The answer is no.”

Debt pressures rising – but so is confidence

Tax debt continues to dominate practitioner concerns.

Tax debt continues to dominate practitioner concerns. Inland Revenue Annual Report, Te Tari Taake Pūrongo ā-Tau 2024–25 shows total tax debt reaching NZ$9.3 billion and it is forecast to climb to NZ$10.5 billion, a trend reflected in practitioners’ experiences.

“There is no getting away from the fact that tax debt is probably the biggest issue in the tax system at the moment,” Cunniffe says. He adds, “82% of tax agents have clients with unpaid tax debt.”

Yet the picture isn’t entirely gloomy. Practitioners report that repayment confidence is high: 75% believe their clients will meet repayment arrangements. Still, consistency remains an issue, with many finding it difficult to modify existing arrangements.

“Practitioners say it’s frustrating to change those repayment arrangements, and that’s something I know Inland Revenue is looking at.”

Audit activity: back with force

John Cuthbertson FCA, CA ANZ New Zealand’s tax and financial services leader, notes that after years of a relatively light touch, tax audits are “back with a vengeance”.

Survey responses confirm this. Nearly 60% of practitioners reported increased audit activity, particularly targeting GST, land transactions, PAYE and emerging crypto-asset issues. 

As IR rebuilds capability, many practitioners noted the same tension present in other IR engagements: employees who are responsive and engaged but variable in technical expertise. Timeliness and communication were the biggest areas flagged for improvement.

Despite this, satisfaction with final outcomes is satisfactory and trending upward.

Building understanding and collaboration

One of the strongest themes emerging from this year’s survey is a sense of misalignment between what IR intends and what practitioners see in practice, especially with tax debt. Cuthbertson emphasises that agents often “see what is in front of them and are unaware of the bigger picture” of IR’s strategy.

To bridge that gap, CA ANZ and TMNZ partnered with IR on a series of educational webinars on tax debt in early 2026: an encouraging signal of valuable collaboration and shared commitment to improving the tax system.

A balanced outlook

The 2025 survey paints a picture of a tax system in transition: making progress, tackling longstanding challenges, and re-establishing its visibility and capability after several turbulent years. IR’s responsiveness is improving, digital channels are stabilising, and debt and audit processes are becoming more structured.

But practitioners are equally clear: consistency, capability and communication must continue to improve for the system to operate at its best. In the meantime, the shared focus of CA ANZ, TMNZ and IR on training, transparency and open dialogue offers strong foundations for continued progress.