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Winston Peters wrong on tax

John Key MP
National Party Finance Spokesman

31 August 2005

Winston Peters wrong on tax

National Party Finance spokesman John Key says Winston Peters must make it clear to Kiwis whether he supports tax cuts or welfarism.

“This is a simple question really. Either you support initiatives that will allow people to keep more of what they earn and get ahead through their own efforts, or you support the Labour model of redistribution and welfarism.

“Unlike other political parties, our tax plan has been costed and given the green light by independent experts, yet Mr Peters continues to dither over whether he supports a fair tax structure that sees 85% of New Zealand taxpayers parting with no more than 19% tax on extra work.

“Mr Peters is falling into the same trap as Michael Cullen. New Zealand does not have a debt problem and by 2006/07 our net debt under National will be zero.

“New Zealand does not have a debt problem - we have a growth problem. National is not borrowing to fund tax cuts, in fact we are running surpluses larger than Labour did for its first four years in office.

“National’s tax policy is about setting the right incentives for extra work and productivity. It is about providing the opportunity for New Zealanders to get ahead in their own country, rather than moving to Australia.

“It is about economic growth, cutting Government red tape and reducing the gross overtaxation that’s been promoted by Labour.

“Winston either supports that, or he doesn’t.

“National has been open about its tax plan, Mr Peters has not.

“Our position on tax has been well signalled. It is a principled position that forms the bedrock of our plan to accelerate growth and return the gains to those who are generating the wealth - the taxpayer,” says Mr Key.

ENDS

See how you’ll get ahead with National’s fair tax plan: www.taxcuts.co.nz

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