The Government will repeal the Business Payment Practices Act 2023, Small Business and Manufacturing Minister Andrew Bayly announced.
There is a major problem with large market players imposing long payment terms and routinely paying invoices late.
However, the Business Payment Practices Act is not an effective solution and would impose unnecessary compliance costs to over 3,000 businesses upgrading their ICT systems.
Furthermore, small businesses can already find out which companies are late payers through a credit agency at minimal cost.
The Government will be requiring government agencies to adopt faster payment times, including for eInvoices, which will support business cash flow and encourage the growth of eInvoicing.
Source: beehive.govt.nz
