The Inland Revenue Department has been given new funding of $13.1 million a year to improve its enforcement capability and to help it recruit and retain staff.
"It is essential to the integrity of the tax system that the public has confidence in IRD's ability to enforce the tax laws," Revenue Minister Michael Cullen said.
"And the increase makes good fiscal sense too as the additional audit and debt collection activities the new money will buy are expected to bring in an extra $77.5 million a year in tax.
"This is revenue which is already legally due the Government and which we can use to advance our social and economic goals," Dr Cullen said.
