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


Greens urge Govt to set tax-free threshold

18 May 2005

Greens urge Govt to set tax-free threshold

As speculation mounts that income tax cuts will be a feature of tomorrow's Budget, the Greens are urging Finance Minister Michael Cullen to introduce a tax-free threshold, rather than lifting existing thresholds.

"We support income tax cuts but we want Kiwis on low incomes to get the most benefit rather than those of us who are already relatively well-off," Green Co-Leader and Finance Spokesperson Rod Donald said.

The Green Party favours charging no tax at all on the first $5000 of income. The $2.5 billion cost of such a move would be funded by a suite of eco-taxes, including the recently announced carbon tax. A tax-free threshold would be similar to Australia's system, which charges no tax on the first $6000 of income.

"Making the first $5000 of income tax-free would put an extra $15 a week in everyone's pocket," Mr Donald said. "That's much fairer than, for example, United Future's proposal which amounts to a gold coin donation ($1-$2 a week) for anyone earning less than $38,000 but more than $20 a week for those earning over $60,000, such as MPs.

"Without doubt, the current thresholds are penalising hard-working middle-income earners, but simply lifting those thresholds is not the best solution to reducing their tax burden. In fact, they would end up relatively worse off compared to high-income earners than they are now.

"The Greens also want the Government to increase the minimum wage to $12 per hour to boost the incomes of the lowest paid and reduce the fiscal cost of existing income support policies," Mr Donald said.


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Peters/Ardern Triumph

There are a lot of good reasons to feel joyful about this outcome. It is what so many young voters – the best hope for the country’s future – wanted.

Far more important than the implications for the Economy Gods ( is the dollar up or down? ) last night’s outcome will also mean many, many vulnerable New Zealanders will have a better life over the next three years at least.

Yet the desire for change was in the majority, across the country..>>>More


Labour on its agreement |Peters: Post-Election Announcement Speech | Greenpeace “cautiously hopeful” about new Government | ACT - Madman on the loose | E tū ecstatic | Chamber welcomes the outcome | Greens on their joining Govt | EDS welcomes new govt | Immigrant groups worry | Feds ready to engage new coalition government | Labour Ministers of the Crown announced


Climate: Increasing Greenhouse Emissions Hit NZ

New Zealand is seeing impacts of excess greenhouse gas emissions in our climate and oceans, according to the latest national report from the Ministry for the Environment and Stats NZ about the state of the atmosphere and climate…More>>


Wellington.Scoop: Arrests At Blockade Of "Weapons Expo"

“We encourage people in Wellington to get down to the Westpac Stadium now for a day of awesome peace action. There will be plenty of food, music and activities to keep us sustained through the day.” More>>


Rorschach Restructuring: PSA Taking Inland Revenue To Court Over Psychometrics

The Public Service Association will be seeing Inland Revenue in Employment Court over its intention to psychometrically test employees reapplying for their roles at the department as part of its controversial Business Transformation restructuring plan. More>>


Nuclear Disarmament: Nobel Peace Prize 2017 Awarded To ICAN

Congratulations from iCAN Aotearoa New Zealand to international iCAN, the other iCAN national campaigns and partner organisations, and the countless organisations and individuals who have worked so hard for a nuclear weapons-free world since 1945. More>>


Expenses: Waikato DHB CEO Resigns

An independent inquiry has identified that Dr Murray had spent more than the agreed $25K allocated for relocation costs, and other unauthorized expenses involving potential financial breaches of the chief executive’s obligations. More>>


Wellington.Scoop: Sad About The Trolley Buses?

The Regional Council’s MetLink is today spending money to tell us that it really loves Wellington’s trolley buses, even though they’re all being taken off our roads by the end of this month. More>>


Post-Election: Preliminary Coalition Talks Begin

New Zealand First will hold post-election preliminary discussions in Wellington with the National Party tomorrow morning and the Labour Party tomorrow afternoon. More>>




Featured InfoPages

Opening the Election