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Labour to take $2.5b from Kiwi families

New Zealand National Party

Media Release

11 July 2017

Labour to take $2.5b from Kiwi families

The Labour Party wants to take $2.5 billion from Kiwi families from 1 April next year with a pale imitation of the Budget's Family Incomes package, National Party Campaign Chair Steven Joyce says.

"They are proposing to tax more with one hand and give a bit back with the other hand but by their own admission Kiwi families would get fleeced $2.5 billion over the next four years in the process,” Mr Joyce says.

"And in their desperation to avoid shifting tax thresholds, they've dreamt up an even more confusing array of new and old subsidies while taxing low and middle income people at ever higher rates as their wages grow.

"It's classic Labour Party smoke and mirrors. But at the end of it Kiwi families would be $2.5 billion worse off.

"Someone on the average wage would face an annual tax hike of $1100, while Labour would fork out a $3000 annual baby bonus for a family earning $150,000.

"What New Zealand needs is a simpler fairer tax and transfer system more clearly targeted to people who need help and that is what Budget 2017 delivers,” Mr Joyce says.

"Labour look like they are still trying to think up reasons in hindsight why they didn't vote for the Budget's Family Incomes package.

"All they've come up with is a convoluted spaghetti of entitlements that will confuse everyone, and provide a future of ever higher tax rates for hardworking Kiwis as their wages rise."


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