Scoop has an Ethical Paywall
License needed for work use Register

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search


Cash flush Labour should cut taxes

Cash flush Labour should cut taxes

Green Co-leader Rod Donald said today that Michael Cullen should slice a bit off his fat surplus and give New Zealand families two early Christmas presents in the form of income and superannuation savings tax-cuts.

Mr Donald called on the Labour Government to support his amendments to the Taxation Bill during its committee stages on Tuesday. The amendments would extend the six per cent superannuation tax-break already enjoyed by those earning more than $60,000 per year to all workers receiving employer-subsidised superannuation and also make the first $5000 of income tax free for everyone.

"I'm delighted that the Labour Government has finally agreed with the Greens to get rid of the tax penalties that were imposed on middle- and low-income employees, but I'm extremely disappointed that 'Scrooge' Cullen is refusing to support our amendments to give all workers the same break enjoyed by those earning more than $60,000 a year.

"How can this Government in all honesty continue to offer a six per cent incentive for the relatively well-off to save for their retirement, and not extend this to Labour's core voters who need it most?" he asked.

Mr Donald said the six per cent tax break on all employer contributions would cost a mere $77 million a year to help arrest a precipitous decline in the numbers of people belonging to retirement schemes. Since 1990, total membership of employer-sponsored schemes has fallen from 310,741 to 246,946.

"The Government could also make a real a difference for battling families by adopting our amendment to abolish tax on the first $5000 of income," said Mr Donald.

Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

"This would be a great Christmas present for workers and beneficiaries. It's the least the cash-rich Labour Government should do when 30 per cent of New Zealand's children are living in poverty.

"The Green tax-cut proposal would give something to everyone while ensuring the biggest proportional gain would go to those who need it the most. It's the opposite to National's failed trickle-down 'tax cuts for the rich' policy.

"I wouldn't expect National and Act to help families, but I would be disappointed if United Future and New Zealand First don't join me to urge Labour to support these family-friendly amendments," he said.

© Scoop Media

Advertisement - scroll to continue reading
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Skewed Media Coverage Of Gaza

Now that he’s back as Foreign Minister, maybe Winston Peters should start reading the MFAT website which is currently celebrating the 25th anniversary of how Kiwis alerted the rest of the world to the genocide in Rwanda. How times have changed ...

In 2023, the government is clutching its pearls because senior Labour MP Damien O’Connor has dared suggest that Gaza’s civilian population are also victims of what amounts to genocide... More

Scoop Post Election Podcast: River Of Freedom Review

After reviewing River of Freedom, a documentary about the Wellington parliamentary protest of 2022, the Scoop Political Podcast went into hibernation. Watched by potentially tens of thousands of voters in the weeks prior to Election 23, it was unlikely to have won any votes for Labour. With a new coalition Government now formed, it’s time to look at the impact it had... More

Government: New Zealand Condemns Malicious Cyber Activity
New Zealand has joined the UK and other partners in condemning malicious cyber activity conducted by the Russian Government, Minister Judith Collins says... More

ACT: Call To Abolish Human Rights Commission

“The Human Rights Commission’s appointment of a second Chief Executive is just the latest example of a taxpayer-funded bureaucracy serving itself at the expense of delivery for New Zealanders,” says ACT MP Todd Stephenson... More

Environmental Defence Society: Briefings for Incoming Ministers

EDS examined the Government’s resource management, environment, climate change and oceans and fisheries policies in a recent Newsroom opinion piece. The BIMs take a deeper dive into each portfolio and set out EDS’s key asks of each Minister... More

Public Housing Futures: Christmas Comes Early For Landlords

New CTU analysis of the National & ACT coalition agreement has shown the cost of returning interest deductibility to landlords is an extra $900M on top of National’s original proposal. This is because it is going to be implemented earlier and faster, including retrospective rebates from April 2023... More




InfoPages News Channels


Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.