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

 


Bill English Accidentally Endorses ACT Policies

Bill English Accidentally Endorses ACT Policies

“Bill English has accidentally endorsed ACT’s tax policy. We aim to cut the company tax rate from 28% to 20% next year and to 12.5% by 2020” said ACT Leader Dr Jamie Whyte .

Mr English does not deny that lowering the company tax rate will increase growth, create jobs and lift real wages. How could he when that is what all the research shows?

Instead, he quibbles that the top rate of personal income tax and the company rate should not be very different: “You just invite people to dodge taxes by setting up structures that make them look like companies instead of people.”

That does indeed happen. But there are two problems with Mr English’s objection.

“The first is that the small economic cost of such behaviour is swamped by the massive benefits of reducing the corporate tax rate. “

“The second is that our tax proposals will close the gap between the corporate and personal rates. Today the top rate of personal income tax is 33% and the company rate is 28%: a gap of 5 percentage points. On our fully costed tax proposal, in 2015 the top personal tax rate will be 24% and the corporate rate will be 20%: a gap of 4 percentage points.”

Dr Whyte said “ACT is grateful to Mr English for drawing attention to an additional benefit of our tax policy.”

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

PARLIAMENT TODAY:

Labour: New Figures Show Speculators Rampant

New figures released by the Reserve Bank show there’s been an explosion in mortgage lending with most of the growth going to property investors, Labour’s Housing spokesperson Phil Twyford says. More>>

ALSO:

False Official Information Response: English's Apology Accepted

Finance Minister Bill English is being thanked for his apology to New Zealand First Leader and Member of Parliament for Northland Rt Hon Winston Peters... Mr English says his staff and the Treasury have searched again, and they found the document that they denied having. More>>

ALSO:

Midwives On Pay Equity: Historic Bill Of Rights Case For High Court

“We have been left with no choice.” That from Karen Guilliland, the Chief Executive of the New Zealand College of Midwives, as the organisation prepares to file a pay parity discrimination case on the basis of gender under the NZ Bill of Rights Act in the High Court. More>>

ALSO:

Gordon Campbell: On The Children’s Commission Report On CYF

Accusing the overworked and underfunded staff at Child, Youth and Family of a “dump and run culture of neglect” is the kind of luxury that a Children’s Commissioner can afford to indulge in from his own comfy perch in the bureaucracy. More>>

ALSO:

Mt Eden Prison: Serco Inquiry Extended

A two month delay to the Government investigation into prison fight clubs shows the extent of problems within the Serco circus, says Labour’s Corrections spokesperson Kelvin Davis. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Politics
Search Scoop  
 
 
Powered by Vodafone
NZ independent news