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

 


Sneaky tax surprise for tertiary graduates

Sneaky tax surprise for tertiary graduates

Graduates are once again the losers in National’s Budget, this time with changes to student loan repayment thresholds, Labour’s Tertiary Education spokesperson Maryan Street says.

“National has a sneaky tax surprise for tertiary graduates. It has suspended inflation adjustments to the student loan repayment threshold for a further two years until April 2017.

“Students who earn as little as $19,084 have 12 per cent of their after tax earnings taken as automatic student loan repayments. This threshold was booked to rise, but National cancelled the adjustment to claw back $70 million off students who have found work.

“This follows National last year raising repayment levels from 10 to 12 per cent of their earnings which wacked graduates with higher payments, often hundreds of dollars more a month.

“The threshold for repayments was adjusted for inflation under Labour. This meant there was a stronger incentive to find work and recognition that low earners need a little more in their pockets to make ends meet.

“But National has decided to hit low-earners harder. By refusing to lift thresholds with inflation, they are biting further and further into real earnings as living costs rise.

“Students with young families will find much of the support given for new-borns will be swallowed up in tax deducted for student loans. This will hit modest earners the hardest.

“In each and every one of National’s first five budgets, they cut student support. Now they are going after students even as they leave education to make their way in the world,” Maryan Street says.

Ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Parliament Today:

The Kids: OECD Report Shows Huge Impact Of Poverty On Education

A new report from the OECD has again highlighted the negative effects of poverty, showing that disadvantaged children in New Zealand are more than six times more likely to underachieve in maths than children from wealthier homes. More>>

ALSO:

Pacific: NZ Pledges $500,000 To Help Address Zika

“With the Zika virus now confirmed in a number of Pacific countries, New Zealand is committed to helping limit the impact and spread of the virus in the region,” says Mr McCully. “New Zealand will provide $250,000 as a contribution to the WHO to implement the Pacific Zika Action Plan, and a further $250,000 to enable countries in the region to respond rapidly if required." More>>

ALSO:

Labour: Police Commissioner 'Doesn’t Get Force Needs'

The Police Commissioner has let down the public and his own force by insisting the police have what they need despite it taking a year to solve a burglary and overwhelming number of officers saying they are under-resourced, says Labour’s Police spokesman Stuart Nash. More>>

ALSO:

Gordon Campbell: On The US Pressure To Expand Our Role In Iraq

Foreign news services are being more forthcoming about what the “next 12 months” will entail – essentially, the defence ministers will be under US pressure to increase their “training” role preparatory to an assault on the city of Mosul in northern Iraq. More>>

ALSO:

Parliament Restarts: Prime Minister’s Statement

Our policy agenda and legislative programme will reflect the Government’s four priorities: • to responsibly manage the Government’s finances • to build a more competitive and productive economy • to deliver better public services to New Zealanders, an • to support the rebuilding of Christchurch. More>>

ALSO:

NZEI Survey Report: Special Needs Students Missing Out

The survey revealed that around 16 percent of students were on schools’ special needs registers, but nearly 90 percent of schools’ special needs coordinators did not believe there was adequate support for students and their learning... More>>

ALSO:

Interim Report: Waitangi Tribunal On Ture Whenua Legislation

Labour on Proposed changes to Maori land rules: “To have Treaty Negotiations Minister Chris Finlayson dismiss findings as ‘bizarre’ is totally disingenuous and disrespectful. What’s bizarre is Maori Development Minister Te Ururoa Flavell stubbornly pushing through this Bill before the Waitangi Tribunal has even completed its report..." More>>

ALSO:

Spy Update: Appointment Of GCSB Acting Director

GCSB Chief Legal Advisor Lisa Fong will become the Acting Director of the Government Communications Security Bureau (GCSB) from 15 February 2016, Minister Responsible for the GCSB Christopher Finlayson announced today. More>>

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news