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

 


Labour’s tax avoidance policy redundant

Labour’s tax avoidance policy redundant


Revenue Minister Todd McClay has accused Labour of announcing policy on tax avoidance that either misses the point or is completely redundant.

“This National-led Government has an unprecedented record of stamping out tax avoidance. Budgets 2010, 2012 and 2014 included around $330 million of additional spending on tax compliance activities,” Mr McClay says.

“We are seeing some outstanding results from this investment.”

“In 2013 compliance work for ‘hidden economy’ tax evasion gave a return of $45 million, $5.60 for every dollar spent. Going after aggressive tax planning identified $206 million of discrepancies, a return of $42.90 on every dollar!”

“As for the proposal to ‘embed’ IRD auditors to catch multinational tax avoidance, once again this is redundant.”

“Inland Revenue already has in place the Significant Enterprises Initiative targeted at multinational companies and other organisations with an annual turnover in excess of $80 million. These companies are required to provide IRD with copies of their financial statements, tax reconciliations and group structures at return filing time.”

“For the 60 top tax paying corporates, an IRD compliance manager is assigned to sort out tax issues in real time. This lets IRD examine a wider range of multinationals more closely and as a result, multinationals receive far more tailored information requests and audit inquiries.”

“If Labour thinks their policy will make one dollar of difference to Google, Facebook or Apple they need a reality check.”

“New Zealand does not have tax jurisdiction over companies that are not based here, the only way to solve global tax avoidance issues such as base erosion and profit shifting is through international cooperation at the OECD and G20, which is why we are so heavily involved in those initiatives.”

“I suppose we can be thankful that Labour has at least flip-flopped on banning Facebook,” says Mr McClay.

ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

PARLIAMENT TODAY:

"Gutted" Safety Bill: Time To Listen To Workplace Victims’ Families

Labour has listened to the families of whose loved ones have been killed at work and calls on other political parties to back its proposals to make workplaces safer and prevent unnecessary deaths on the job. More>>

ALSO:

Regulators: Govt To ‘Crowd-Source’ Regulatory Advice

A wide-ranging set of reforms is to be implemented to shake up the way New Zealand government agencies develop, write and implement regulations. More>>

ALSO:

Board Appointments: Some Minister Appoint Less The 3 In 10 Women

“It’s 2015 not 1915: Ministers who appoint less than 3 in 10 women to their boards must do better, they have no excuse but to do better,” said Dr Blue. More>>

Gordon Campbell: On The 1990s Retro Proposals For Our Health System

As we learned yesterday, the reviews propose that the democratically elected representation on DHBs should be reduced, such that community wishes will be able to be over-ridden by political appointees. In today’s revelations, the reviews also propose a return to the destructive competitive health model of the 1990s. More>>

ALSO:

Post-Cab Press Conference: Foreign Buyers Register, TPP And Serco

At a press conference today in Wellington, John Key discussed the foreign buyers register as well as the TPP and Serco. Key was questioned on whether a stamp tax might be used as a tool to deal with foreign buyers. More>>

ALSO:

Lyndon Hood Satire: Serco To Outsource Prison To Public Sector

In response to high-profile failings, multinational omnicorporation Serco will introduce public management in its prison system. Serco's New Zealand manager, speaking on condition of anonymity, has announced plans for managers from the Department of Corrections to run the Mt Eden Correctional Facility. More>>

National Party Conference: Plans To Nudge Immigrants Towards Regions

The Government will introduce a package of immigration measures aimed at improving the spread of workers, skills and investment across New Zealand, Immigration Minister Michael Woodhouse says. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news