Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search


Lower taxes essential for faster growth

Don Brash National Finance Spokesperson

12 October 2002

Lower taxes essential for faster growth

If the Government is serious about increasing New Zealand's sustainable growth rate, it must reduce the rates of tax most relevant to those who will invest and produce for the future, says National's Finance spokesman Don Brash.

Dr Brash was speaking at the 2002 Tax Conference in Christchurch today.

"Spending by central and local governments currently amounts to about 40 per cent of GDP and, with a possible exception of the city state of Luxembourg, no country has achieved a high rate of growth over a prolonged period with such a heavy tax burden.

"The Government could cut the company tax rate and the top personal tax rate to 30 per cent and still have a budget surplus.

"By my estimation, reducing both rates to 30 per cent would cost about $1.6 billion in revenue - an amount somewhat less than the operating surplus forecast for the current financial year, and that without assuming that those reductions in tax rates would stimulate any additional activity.

"In other words, tax cuts of this magnitude could be achieved with absolutely no reduction in spending on health, education or social welfare," said Dr Brash.


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Tax Working Group’s Road Map

Trying to analyse the interim report on the Tax Working Group (TWG) is like trying to review an entire All Blacks game, but at the half- time mark.

With so much still to be finalised, Sir Michael Cullen and his colleagues are going to need all the All Blacks’ fabled finishing skills to get a coherent, fiscally neutral package together by the February 2019 deadline. More>>


Meth Testing Report: Housing NZ "To Right Wrong"

Phil Twyford “Housing NZ acknowledges that around 800 tenants suffered by either losing their tenancies, losing their possessions, being suspended from the public housing waiting list, negative effects on their credit ratings or, in the worst cases, being made homeless.” More>>


No Reshuffle: Meka Whaitiri Removed As A Minister

Meka Whaitiri will be removed as a Minister with immediate effect... The decision was made after receiving a report into an incident that occurred on 27 August in Gisborne, involving Meka Whaitiri and one of her staff. More>>


Pay Equity Bill: Making History For Women’s Pay

The Equal Pay Amendment Bill, introduced to the House today, will make it easier for workers to make a pay equity claim , using a more simple and accessible process within New Zealand’s existing bargaining framework. More>>


Suffrage 125: NZ A Trailblazer For Women

“We acknowledge the work of Kate Sheppard, Meri Te Tai Mangakāhia, and all of the suffragists who tirelessly campaigned for the vote… Today we also need to ask each other: how we can continue to make our country a fairer and better place to continue the legacy of the suffragists.” More>>


Asylum: Refugee Quota Increasing To 1500

“The quota increase will take place from July 2020. In the meantime, we will work to increase the number and spread of refugee resettlement and support services. We need to make sure we’re prepared for this change in policy.” More>>





InfoPages News Channels