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Tax Cuts Needed To Remain Competitive With Oz

ACT Finance Spokesman Rodney Hide said today that New Zealand must move to cut its top rate of tax to stay competitive with Australia.

"ACT is recognised by New Zealand businesses as the only Party with a clear five year programme to bring the tax rate down. Manufacturers have voted ACT as having the best policies for business.

"Too many jobs, too much investment and too many businesses are being lost to Australia. It's hard enough in business without having a business environment hostile to jobs and to growth. That's why business is being lost to Australia.

"The moves by the Australian Government today to bring the rate of company tax down to 30 percent will drag in more jobs and investment to Australia. It's not enough that our government just match this cut - we must move below Australia to secure again our competitive advantage.

"That's why ACT is promising to cut the top rate of tax from 33 cents to 20 cents. That would prove the best boost business could ever have. All it needs to achieve such a result is for government to cap spending for the next three years. It can be done - and it should be done.

"The Alliance and Labour's policy of putting tax up will serve no other function other than driving businesses and jobs to Australia. The only export these two tax-and-spend parties will help is the export of jobs and people across the Tasman.


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