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Government Inconsistent On Tax

Wednesday 29 May 2002

ACT leader Richard Prebble has accused the Labour government of being inconsistent on tax, by giving special tax exemptions to visiting overseas super yachts crews.

"Dr Cullen tells us in his Budget that he believes there's no evidence that tax cuts promote growth and economic activity.

"Now, the government has cut tax not only for Maori businesses but also for international yachtsmen.

"The government says cutting tax for the super yacht crews will earn New Zealand about $100 million. If this is so, why would cutting taxes for New Zealand-owned small businesses not also promote jobs, growth and prosperity?

"Why do tax cuts only work for Maori and foreign yachties but not for ordinary New Zealanders?" Mr Prebble said.

ENDS


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