IRD's Ability to Search Premises
28/11/2011 by Admin
A recent High Court decision1 confirms the wide reach of the IRD's powers to search premises and seize documents, including searches of private dwellings. The case involved search warrants executed on three private homes (and other premises) in an investigationconcerning possible tax avoidance and/or evasion.
The background, including a history of non-compliance with document production notices issued by the IRD and a series of black letter law arguments raised by the taxpayers may have informed the courts reluctance to interfere. Justice Venning held that it was for the court to monitor the manner in which the Commissioner exercised his powers, not the decision to exercise such powers. The case demonstrates that the courts will not lightly interfere with the IRD's search powers (which are arguably wider than most government entities), unless those powers were exercised in breach of the Bill of Rights Act 1990.
The background, including a history of non-compliance with document production notices issued by the IRD and a series of black letter law arguments raised by the taxpayers may have informed the courts reluctance to interfere. Justice Venning held that it was for the court to monitor the manner in which the Commissioner exercised his powers, not the decision to exercise such powers. The case demonstrates that the courts will not lightly interfere with the IRD's search powers (which are arguably wider than most government entities), unless those powers were exercised in breach of the Bill of Rights Act 1990.
