Plain language law

New Zealand law explained for everyone

Accident Compensation Act 2001

Management of the Scheme - Work Account

173: Estimation of levy

You could also call this:

"The government guesses how much you might owe for workplace accidents"

The government can ask you to pay money for workplace accidents based on what they think you might owe. They will do this before they know exactly how much you really need to pay.

After the time is up, the government will work out how much you actually should have paid. If you paid too much and the difference is more than $20, they will give you back the extra money. If the extra amount is more than $1,000, they will also pay you some interest on top.

If you didn't pay enough and you still owe more than $20, you will need to pay the extra amount.

The government won't ask you to pay or give you money back if the difference is $20 or less.

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This page was last updated on

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM102413.

Topics:
Work and jobs > Workplace safetyMoney and consumer rights > Taxes
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Part 6Management of the Scheme
Work Account

173Estimation of levy

  1. The Corporation may require an employer to pay a levy based on the Corporation's reasonable estimate of the levy payable by the employer for part or all of the prescribed period.

  2. In that event, the Corporation must, as soon as practicable after the end of the period to which the Corporation's requirement relates, calculate the amount of levy actually payable by the employer for the part or all of the prescribed period and—

  3. refund any amount greater than $20 that is overpaid, together with (if that amount exceeds $1,000) interest on that amount at the rate prescribed by regulations or the rate as calculated by the method prescribed by regulations made under this Act; or
    1. require the employer to pay any amount greater than $20 that is outstanding.

      1. The Corporation must not issue an invoice arising from a recalculation under subsection (2) unless the amount invoiced is greater than $20.

      Notes
      • Section 173(2)(a): amended, on , by section 12 of the Accident Compensation (Maternal Birth Injury and Other Matters) Amendment Act 2022 (2022 No 51).