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Small Business Again The Losers

Small Business Again The Losers

Monday 25 Aug 2003 Richard Prebble Press Releases -- Taxation

The Labour government is destroying New Zealand small businesses said ACT Leader Richard Prebble today in response to the Business NZ - KPMG Compliance Cost Survey. "The Compliance Cost Survey released today confirms ACT's own survey of businesses in May this year. Both revealed that businesses, particularly small businesses, see compliance costs (taxation by stealth) and tax as the highest priorities for change.

"Business is very concerned about OSH and Employment Relations Act compliance, and the excessive level of taxation, and in New Zealand, most businesses are small businesses.

"The survey says that small enterprises - those with five or fewer employees - face compliance costs of around $3,400 per employee per year.

"It's interesting to note that the OSH Act was seen as the top offender by businesses (65%), followed closely by tax (61%) and the Employment Relations Act (48%).

"Last week Cabinet once again approved legislation to amend the Employment Relations Act which in effect means employers (small businesses) will be hit by increasing compliance costs.

"The Act party believes that the government should be repealing the OSH and Employment Relations Act and replacing them with simple straightforward business friendly laws. ACC should again be open to competition and choice and our tax laws massively simplified by going to a flat tax regime. These steps, which are relatively easy to implement, would transform New Zealand's business environment, and promote growth, jobs and prosperity," Mr Prebble said.


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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