Natural Law on taxation
A Natural Law Party government would reduce taxes at both personal and corporate levels and would eliminate GST, says the party’s leader, Mr Bryan Lee.
“It would be able to make these moves because the application of its policies would serve first, to create more taxable income through an increase in creativity and secondly, to produce substantial savings in government expenditure as a result of diminished stress in the community,” Mr Lee said.
The first priority would be either a phased reduction leading to abolition, or an immediate abolition, of GST, depending on fiscal circumstances.
“Our objection to GST is that it is a regressive tax, its impact falling heaviest on those with low incomes,” Mr Lee said. “Because of its universality, every purchase made has the potential to evoke negative attitudes towards the Government.
“Direct taxation would also be progressively lowered as fiscal circumstances permitted. The aim would be to gradually bring personal and corporate tax rates down to 15 per cent.
“The fiscal surpluses would also continue to be used for the reduction of national debt.”
Mr Lee said that the Natural Law Party’s attitude was: “Create more wealth and feel free to enjoy it.” It did not believe that it was right to impose high taxes on the creative and successful members of the community -- in effect punishing them for their success.
“These leaders of the economy’s capacity to generate wealth should be encouraged rather than encumbered with disincentives. And reducing the tax burden on individuals and companies will stimulate more giving from these sources to those in need and to private sector services targetted at the needy.”
Mr Lee said that this did not mean that the state under Natural Law would abdicate its responsibility to support financially those in need.
“Reduced stress and greatly improved health through Natural Law’s prevention programmes will lower the requirement for social spending, but it will be a clear commitment of a Natural Law administration to give financial support to those in the community who are in genuine need, such as the physically and mentally handicapped.
“The housing of dependent individuals and families will be given a high priority in the Government’s social expenditures,” Mr Lee said.