Widespread disappointment at company tax cut failure

Business groups and commentators have echoed ACT’s disappointment at the Government’s failure to cut company tax, to adjust the top personal tax threshold, and to index tax brackets to inflation.

Federated Farmers:
“Federated Farmers is disappointed there was no movement in the threshold for the top rate of income tax or for the company tax rate. Too many taxpayers will continue suffering the effects of several years of fiscal drag and our company tax rate runs the risk of falling behind those overseas.”

Kirk Hope, BusinessNZ:
“[Budget 2017] missed the mark on tax. . .The most important thing this Budget could have done was to cut business tax. Lower business tax encourages investment and increases productivity and jobs.”

Carolyn Luey, MYOB New Zealand
“There is definitely a case for supporting small and start-up businesses with a lower tax rate and gradually extending the rate to cover all businesses. Our businesses will soon face a higher tax burden than competitors across the Tasman.”

Thomas Pippos, Deloitte
“New Zealand’s corporate tax rate evades global gravitational forces.”

Wyatt Creech, former deputy Prime Minister:
“Raising the tax thresholds should happen. If thresholds are not regularly adjusted for inflation we have tax increases by stealth. That's wrong.”

ACT Leader David Seymour:
“The good news is that we can still achieve more competitive and fairer tax rates in 2018. A stronger ACT, with more MPs, can force National to bring down company and personal tax rates, as well as index tax brackets to inflation. When businesses and individuals keep more of the money they earn, they invest in themselves and their communities, making us all better off.”

ENDS

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