Tax pooling can reduce your cost by up to 30 percent.
Anyone who has been hit hard by Inland Revenue (IRD) late payment penalties and use of money interest (UOMI) for unpaid or underpaid tax knows how crippling this can be.
It’s the last thing you want to happen.
However, using tax pooling to settle income tax liabilities reduces your exposure to late payment penalties and UOMI, meaning it is cheaper than paying the money directly to IRD.
Tax pooling allows you to purchase tax from someone who has overpaid and then apply that tax to meet your liabilities.
As such, you can eliminate IRD late payment penalties and significantly reduce UOMI costs by up to 30 percent.