McLeod Tax Review: Wake Up Call for Political Parties

Wednesday 24 Oct 2001 Rodney Hide Press Releases -- Taxation

ACT Finance spokesman Rodney Hide today said the McLeod Tax Review was right to call for a reduction in the top rate of tax.

"We must continuously work to boost returns from investing and working in New Zealand. That means dropping the company rate of tax and dropping the personal rate of income tax.

"We should be striving towards a top rate of tax of twenty cents in the dollar. The McLeod team's proposal for 33 cents would just take us back to where we were, and is only a start.

"There is also a question of priorities. We should put defence needs ahead of the ballet and the orchestra, not the other way around as Helen Clark has done. We should support profitable businesses by cutting taxes, not prop up failing ones with taxpayer hand-outs.

"The McLeod Review is a wake-up call for the political parties. It shows Michael Cullen was wrong to increase the top tax rate to 39 cents. It shows the Alliance's tax policy to be loony.

"The National Party should take a good hard look at the McLeod Review and join ACT in striving towards a freer and more prosperous New Zealand," Mr Hide said.

ENDS

For more information visit ACT online at http://www.act.org.nz or contact the ACT Parliamentary Office at act@parliament.govt.nz.

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