If you’re self-employed, you won’t be receiving an invoice this year Mēnā he kaimahi ā-kiri koe, kāore koe e whiwhi nama i a mātou i tēnei tau

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Based on your feedback, we’re making changes to how we levy self-employed people. If you’re self-employed you won’t receive a 2019/20 invoice in 2019.


Based on feedback from you, we’re changing how we invoice levies for self-employed people. And this year, if you’re self-employed, you'll receive your next invoice in 2020, following your tax return.

We’ll use your income from your tax return for the 2019/20 financial year to calculate your levy. This means we’ll base your levy on your actual earnings, instead of your forecasted earnings.

85%
of submitters told us the new system would be fairer than the current approach.

What you told us

During the 2018 Levy Consultation, the Minister for ACC requested feedback on a proposal to levy self-employed people based on their actual earnings for the year.

Overwhelmingly, submitters told us this system is fairer than the current approach, given their earnings often fluctuate year-to-year.

People sought greater flexibility with our approach to those who are self-employed. Before, we would calculate the Earners’ Levy and Work Account Levy for self-employed people based on the income they earned the year prior.

Additionally, submitters noted that a pre-payment option was less desirable. This is due to fluctuating incomes often making it difficult to predict payments or pay in advance.

“
It just makes sense to charge based on current earnings. Significant disadvantage can occur if income drops and the levy is based historically.
”

Further information

Remember, you would have paid your levy for the 2018/19 tax year in advance, so you’re already covered for this year.

This change only affects self-employed people who are on CoverPlus cover. Those on CoverPlus Extra will still receive an invoice in advance.

Types of cover for self-employed

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