Company tax cut for small firms that create jobs
Company tax cut to help small firms that create jobs
Nearly nine out of ten companies in New Zealand are small, often family-run enterprises that deserve community support, says Progressive MP Matt Robson.
"It is time to reward the contribution to job creation that small, often extremely small, companies make in New Zealand," Matt Robson said.
The Progressive Party has announced that it will campaign in next year's election on a platform that includes reducing the company tax rate to 30%, from 33% now.
Progressive will announce more policies before Election Day designed to help small businesses grow.
"All up, 86 per cent of all enterprises employ fewer than five staff.
"According to the Ministry of Economic Development's latest report on small and medium enterprises published in September, a stunning 97 per cent of all enterprises employ 19 or fewer fulltime staff in New Zealand.
"By ensuring that our small and medium businesses continue to be competitive and to thrive, progressive governments help ensure we can continue to afford to deliver forward-looking social policies like Four Weeks Annual Leave for all workers, an expanded paid parental leave scheme and to deliver also cheaper access to education and housing for all of our people," Matt Robson said.
Small and medium firms contributed 84 per cent of the net employment growth between 1997 and 2003, or 162,150 out of the 193,980 extra full time employment positions.