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Smith Could Deliver National's Largest Ever Tax Cut

MEDIA RELEASE

Smith Could Deliver National's Largest Ever Tax Cut

22 JANUARY 2015
FOR IMMEDIATE RELEASE

The Taxpayers’ Union is welcoming the Government’s acknowledgement of the size of the RMA regulatory tax. Responding to the report by Motu Economic and Public Policy Research, and last night’s speech from Environment Minister Nick Smith, Jordan Williams, Executive Director of the Taxpayers’ Union says:

“If Dr Smith can carry this through, he will deliver more meaningful tax cuts to renters and current and future home owners than anything considered by Bill English. RMA red tapecost, delay and uncertainty privileges incumbents with blocking powers for all changes from the status quo. It is the worst kind of hidden tax, because no one is forced to show how much it costs, compared with how much benefit it delivers, and who gets that benefit. De facto veto powers on change may protect relatively trivial preferences and prejudices, where the enormous cost is borne ultimately by all who lose out on homes, pay too much rent, or pay far more interest than we need pay. The RMA tax is just the worst of these hidden regulatory taxes.. They raise prices for all, transfer wealth and what they protect is often just elite hatred of change.”

“Dr Smith mentions the Auckland Council forcing Sir Bob Jones having to consult with 13 iwi to replace a window in an 16 story office tower. He can deal to that very simply in his reform. For example, those who ask Councils to consider their metaphysical and spiritual concerns, Taniwha for example, should be expected to pay for the benefits they see, to those who suffer the costs. We’d soon see more rational use of the objection powers that should not be casually excluded.”

ENDS


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