If you were in your first year of self-employment between 2002 and 2017, or paid provisional ACC levies after ceasing trading, ACC may owe you a refund.
ACC says it expects to refund about $100 million to approximately 300,000 businesses and if you received one of their letters, this includes you.
Sort of feels like winning a minor prize in Lotto.
Businesses can go to the ACC website to check if they are due a refund. You will need your ACC account number or IRD number.
In 2018, the incorrect charges were discovered when new regulations were drafted, and it was revealed “that since 2002 the regulations have been drafted in a way that doesn't provide for the levying of first-year self-employed to occur.”
ACC will refund all first-year levies collected since 2002 from self-employed customers, who worked fulltime, that is, averaged more than 30 hours per week across the financial year.
They will also refund about $64 million to around 200,000 businesses who paid provisional invoices during the same period, in situations where they were not required to do so.
They are also paying interest but did not say how much it will be in total.