Repaying the COVID-19 Wage Subsidy Extension

How to repay the COVID-19 Wage Subsidy Extension if you need to.

Information

If you want to repay the Wage Subsidy, go to the Wage Subsidy repayments page.

When you need to repay

You need to repay some or all the COVID-19 Wage Subsidy Extension if:

  • you no longer meet the criteria for the Wage Subsidy Extension
  • you're not meeting your obligation to use the subsidy to retain and pay your employees
  • you've received insurance (eg, business continuity insurance) for any costs covered by the Wage Subsidy Extension that mean you no longer meet the decline in revenue criteria
  • you provided false or misleading information in your application.

If you're not sure whether you need to repay the Wage Subsidy Extension, call us on 0800 40 80 40

  • Have money left over after paying wages

    If your employee's usual wages are less than the subsidy, you must pay them their usual wages. Any difference should be used for the wages of other affected staff - the Wage Subsidy Extension is designed to keep your employees connected to you.

    If there are no other employees to use the subsidy for, then the remaining amount must be paid back.

    Self-employed

    If you're self-employed, the income you regularly draw from your business may be less than the amount you receive for the Wage Subsidy Extension. In this case, the remaining amount must be paid back.

  • Redundancies

    Your obligations state you must retain your employees you're currently receiving the COVID-19 Wage Subsidy Extension for.

    If you have to make an employee redundant during the Wage Subsidy Extension period:

    • you can use the Wage Subsidy Extension to pay the employee any notice period arising from the redundancy, and
    • you must repay any balance of the Wage Subsidy Extension that's left after the notice period has been paid. You cannot use it to pay other staff.

    You cannot use the Wage Subsidy Extension to make any contractual redundancy payments to an employee.

  • Employee resigns

    If one of your employees voluntarily leaves during the 8 weeks of the Wage Subsidy Extension, you need to tell us. You can't claim another Wage Subsidy Extension for that person.

    You don't have to repay the Wage Subsidy Extension. Any difference should be used for the wages of other affected staff - the Wage Subsidy Extension is designed to keep your employees connected to you.

  • How to repay the Wage Subsidy Extension

    You can fill out the online form. You'll need your:

    • business name
    • IRD number
    • New Zealand Business Number (NZBN), if you have one
    • phone number
    • email address
    • postal address.

    You'll also need to tell us the amount you need to repay.

    Once we process the form, we'll be in touch to confirm how to make the repayment.

    After you've made the repayment

    We'll update your details in the employer list within 24-48 hours. This is where people can search for employers who have received the COVID-19 Wage Subsidy, Wage Subsidy Extension and Resurgence Wage Subsidy.

    If you made a:

    • full repayment, you'll no longer be in the list
    • part repayment, the amount of money paid to you will be updated
      • the number of employees won't change as we're unable to update this.