Photo: NZME
Inland Revenue is stepping up efforts to track down overseas student loan debtors - and is trialling using an external provider which promises to use "advanced data mining techniques" to locate defaulters.
Overseas borrower student loan debt has ballooned to $2.3b as of May.
Of that, 1.3 billion is owned by people who have no contact with IRD, which forecasts this to rise to more than 3 billion in three years, and over 5 billion by 2032.
IRD is focussed on those who own property here or have New Zealand based investments, the top 250 UK and Australia based debtors, those who have been back to New Zealand three or more times in the last year and those who have defaulted on their instalment arrangements.
In a briefing document to the Revenue Minister sighted by Nine to Noon, IRD outlines its efforts and says it has made one arrest at the border, and notified 89 others that they may be arrested at the border.
Fincap represents financial mentors and budgeting services.
Its senior policy advisor Jake Lilley, says contracting an outside agency is a worrying development and he has concerns around over-reach.
Dave Ananth is a tax barrister with the law firm Stace Hammond and a former prosecutor with the IRD.
