Stampede Predicted to Avoid ‘Envy Tax’
“A stampede” of early tax payments to avoid Michael Cullen’s new over-$60K Envy Tax is predicted by Libertarianz leader Peter Cresswell, with companies racing to build up imputation credits before the end of the financial year.
“Company tax paid in the current financial year allows declaration of tax paid dividends in the current financial year, and should negate Cullen’s envy driven grasping on people earning over $60,000 per year from April 1st ,” says Cresswell. With many individuals also transferring shares and investments to family trusts to protect against further government theft, Libertarianz estimates that Comrades Clarke and Cullen will be lucky to get even a quarter of the $400 million they expected their envy tax to take from New Zealanders.
“The only tangible benefit accruing from the Comrades’ tax will be for accountants devising new methods to reduce tax-paid incomes below the $60,000 threshold. But, of course, we always knew that, didn’t we?”
“Of further concern though is the silence from Industry and Business – where is the criticism of the government’s grasping tax plans,” wonders Cresswell. “lt sounds like they are already beaten! Or are they simply snivelling around Anderton’s new trough?”