Netflix tax should be offset with tax cuts

ACT New Zealand
November 17, 2015. 12:40pm

The Government should offset any revenue produced by its ‘Netflix tax’ with cuts to company or personal tax rates, says ACT Leader David Seymour.

“If this tax is really about levelling the playing field for local businesses, and not just another revenue grab, then National should have no problems offsetting the cost of this tax through tax cuts elsewhere,” said Mr Seymour.

“If the Government plans on quietly pocketing the $40 million expected to be raised by this tax annually, it adds to a long list of measures used to stealthily build up the tax take over time.

“New fees and taxes like the travel levy, the bright line test, increasing tobacco excise, and ongoing tax bracket creep have been used by the Government to underhandedly increase the total amount of tax taken from New Zealand households.

“If a Government wants to increase its revenue, it should be up front about it, and stop using these minor taxes as revenue sources. If the Government needs money it should admit this, and raise GST or income tax, letting voters cast their judgment accordingly.”

ENDS

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