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

 

David Cunliffe betrays his ignorance on how taxes work

David Cunliffe betrays his ignorance on how taxes work

Mr. Cunliffe said that ACT’s policy of cutting the company tax rate from 28% to 12.5% would just transfer funds to the rich.

He is wrong. Under ACT’s policies everyone will benefit and the “rich” will still pay the normal tax on their income from companies. In fact it will be the workers who will benefit most.

Obviously Mr. Cunliffe does not know that wages rise in countries with lower company tax rates (such as Canada, Denmark, Finland, the UK, Sweden, Switzerland, Iceland and Ireland) because their workers have more capital to work with.

Mr. Cunnliffe also says that ACT has got its figures wrong and the policy is uncosted.

He is wrong on that score as well.

A 12.5% Company Tax rate by 2020 will result in more investment, more jobs, higher wages and greater output. ACT calculates that the Government would get additional revenue from this increased output of $625 million.

ACT’s plan to abolish both corporate welfare and the greenhouse gas trading system will save $1.7 billion of Government expenditure.

The rest of the company tax cuts are funded by a part of the $1.5 billion new policies allowances already provided for by the National Party in each budget from 2015 onwards.

It all adds up to a dynamic boost for companies, their employees and their customers.

Mr Cunnliffe should leave doing sums to his deputy the finance spokesman Mr Parker and try and escape from his Muldoonist mindset.

ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On (Not) Taking Responsibility, Terrorism Porn, And Dylan’s 76th

So Martin Matthews, our current Auditor-General wishes he could have detected “earlier” the fraud that occurred on his watch at the Ministry of Transport. Hmmm. But he could have detected it earlier, surely? That’s the point.

Reportedly, some junior members of his staff had been trying to tell him and his senior colleagues in management for years about the fraudulent actions of Joanne Harrison... Not only were those internal alerts apparently ignored. Some of the whistle blowers were allegedly punished by losing their jobs, as Harrison and her colleagues in management took revenge on them... More>>

Auditor-General's Statement: Standing Aside for Review of Appointment
Yesterday, I wrote to the Speaker of the House of Representatives and requested an independent person review my suitability for the role of Controller and Auditor-General... More>>

 

NGOs Pleased: Govt To Halt Collection Of Client Data

Brenda Pilott, the chair of ComVoices and national manager of Social Service Providers Aotearoa, congratulates the government on its decision to call a halt to the collection of individual client data until the concerns of not-for-profit service providers have been worked through. More>>

ALSO:

Gosh: Blasphemy Law Repeal Struck Down

Chris Hipkins, the MP who tabled a Supplementary Order Paper to add our Blasphemy Law to the Statutes Repeal Bill, said this was a "sad day for freedom of speech, tolerance, and leadership". More>>

ALSO:

Gordon Campbell: On The Navy’s Dealings With Fat Leonard, And Twin Peaks

At an official level, our “she’ll be right” attitude routinely spills over into a keen resentment of anyone who suggests the outcomes may be less than satisfactory… The Navy has now gone one step beyond. It won’t even ask itself whether it did a good job. More>>

ALSO:

NZDF: Fifth Rotation Of Troops Heads To Iraq

The fifth rotation of New Zealand Defence Force troops left today for a six-month mission training Iraqi soldiers. More>>

ALSO:

Gordon Campbell: On The Demonising Of Iran

Will New Zealand still be willing to pursue its recent trade overtures to Iran, now that US President Donald Trump has used his speech in Riyadh to single out Iran as the main source of terrorism and instability in the Middle East? More>>

ALSO:

Pre-Budget Offers: Green Party’s New Plan Puts Kiwi Families First

The Green Party has a plan to help all Kiwi kids have a great start to life, by giving parents more financial support and more flexibility at work. More>>

ALSO:

 
 
 
 

Opening The Election Supporters

 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

Featured InfoPages

Opening the Election