Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 


Government Using Asset Sales to Plug Holes in a Leaky Budget

Government Using Asset Sales to Plug Holes in a Leaky Budget


The National Government has flip-flopped on its promise to spend money from asset sales on new schools, hospitals and broadband, instead sinking it into repairing Parliament's leaky roof, helping the United States to collect tax revenue from Kiwi residents and funding regional road projects that have been held up by the misallocation of transport funds to holiday highways and other pet projects.

“The National Government sold power companies against the wishes of the public and is now using the proceeds to plug holes in its leaky budget,” said Internet Party Economy and Innovation spokesman David Currin.

In this year's Budget, the Government said $1 billion from the Future Investment Fund – the pool of $4.7 billion raised from selling public stakes in power companies and a selldown of Air New Zealand shares – would be spent on “high priority future investment”.

“What we know now is that the Government is instead spending the windfall from the sale of public assets on weird projects such as fixing a leaky roof at Parliament and becoming a tax collector for the United States.”

Budget papers show $5 million will be spent fixing Parliament’s roof and another $5 million on implementing New Zealand's compliance with the US Foreign Account Tax Compliance Act (FATCA).

Through the Taxation (Annual Rates, Employee Allowances, and Remedial Matters) Bill, expected to come into force soon, the US FATCA law will compel New Zealand banks and other financial institutions to audit, gather and report information on all accounts that at any time during the year have a value of $50,000 or more held by US persons. The Internet Party opposes FATCA.

“That’s $10 million alone not being spent in areas we were told it would be. This Government’s flip-flopping shows National is prepared to play fast and loose with taxpayers’ money to serve its own interests and, in the case of FATCA, those of the United States.”

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Water, Pests, Erosion...: Commissioner Releases Mixed Report Card On Environment

The Parliamentary Commissioner for the Environment has released a mixed report card in her assessment of the state of New Zealand’s environment. “We are lucky to live in an exceptionally beautiful country, but we have some big issues to face up to” said Dr Jan Wright. More>>

ALSO:

Education: Private Schools Beneficiaries Of Extra Cash

“Not only did this year’s Budget freeze operational funding for state schools, but 86 per cent of secondary school principals say they don’t get enough funding, and the demand for school donations from parents is rising at 10 times the rate of inflation... Now we’ve got Hekia Parata proposing more cash for private schools." More>>

ALSO:

Shop Hours Bill Second Reading: Government Blocks Easter Trading Petition

The union representing retail workers is warning that the Government is out of touch with working people after passing the second reading of the Shop Trading Hours Amendment Bill, a law handing local authorities the power to permit trading on Easter Sunday. More>>

ALSO:

Gordon Campbell: On The Shewan Inquiry Into Our Tax Haven Rules

Like the political equivalent of lithium, Prime Minister John Key is routinely administered to dull any politically dangerous mood swings amidst the general public... More>>

ALSO:

Law Commission: Review Of Search And Surveillance Act Begins

“For example, the Act was drafted before cloud-based storage of data was commonplace. In the light of these and other developments, the Commission will be examining whether the investigative powers in the Act are sufficient for law enforcement purposes. We will also consider whether the safeguards that surround those processes are adequate.” More>>

ALSO:

Houses, Campers And Cops: LGNZ Media Briefing

At their quarterly media briefing today Local Government New Zealand addressed areas where local authorities are feeling pressure and outlined their approach for the upcoming local body elections in September-October. More>>

ALSO:

17 Year Sentences In Baby Moko Case: Attorney General On Plea Bargain

“The Crown’s decisions in this case, including the decision to accept the manslaughter pleas, were motivated by the need to secure convictions for this horrendous killing and to avoid the significant risk that either of the defendants could escape such a conviction because of evidential issues.” More>>

ALSO:

As Govt Cuts Lobby Anti-Smoking Group Funds: On The Nation - Plain Packaging Debate

Imperial Tobacco leaves open possibility of law suit against New Zealand government if plain packaging is introduced, as planned. Says it’s a “last resort” but “of course we will defend the right to use our brands”. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Politics
Search Scoop  
 
 
Powered by Vodafone
NZ independent news