Parliament

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

 

News Worthy: National’s tax package

10 October 2008 – No. 266

National’s tax package

National’s tax package sets out a three-year programme of personal tax cuts. Including the very recent tax cuts of 1 October 2008, this programme will give a person earning around the average wage a total tax cut of $47 each week, after it is fully phased in.

The package has two key elements:

• The introduction of an Independent Earner Rebate.

• Changes to personal income tax rates and thresholds.

The package has been designed to be appropriate for the current economic and fiscal conditions. It does not restrict future movement on income tax rates and thresholds.

Paying for tax cuts

The rebalancing of the tax system is self-funding and requires no cuts to public services or additional borrowing.

This is shown in the table below. Totalled over the next term of government, the cost of National’s personal tax cuts is balanced by the revenue savings from:

• Changes to KiwiSaver.

• Discontinuing the R&D tax credit.

• Replacing Labour’s proposed tax cuts.

/ 2008/09 ($m) / 2009/10 ($m) / 2010/11 ($m) / 2011/12 ($m) / Total ($m)
Cost of National’s tax cuts / 290 / 1,290 / 1,834 / 2,300 / 5,714
Savings from tax changes / -217 / -1,101 / -1,969 / -2,710 / -5,997
Net cost of tax cuts / 73 / 188 / -134 / -410 / -283

To fund National’s tax package there is no requirement for additional borrowing and there is no requirement to cut public services.

Manipulating the message

The number of staff employed to communicate the Labour government's message has grown by at least 112% in the past six years.

At 1 July 2008 government departments employed 505 public relations, communications, media staff and contractors. Six years ago, they had 238. New Zealanders know the service provided by these departments isn't twice as good.

The number of public relations, communications, media staff, and contractors has risen nearly 13% in the past year alone, up from 448 in 2007, to 505 this year.

Notable departments to see increases:

• Department of Conservation - 96% increase

• Ministry for the Environment - 88% increase

• Inland Revenue Department - 100% increase

It is an interesting statistic that under the Labour-led Government we have seen an increase in the amount of extra floor space leased for bureaucrats in central Wellington equivalent to almost four Te Papa size museums.

It droppeth as the gentle rain from heaven upon the place beneath

So said William Shakespeare in the Merchant of Venice. The new showering regulations, which take effect on 1 February next year, are part of amendments to the Building Code Compliance Document NZBC H1 Energy Efficiency covering hot water systems. To get any new building consent, the flow rate in showers will have to be approximately half that of existing household showers. It will also be illegal to change any shower head to increase flow rates after 1 February.

Houses with solar, wetbacks or heat pumps may be using negligible electricity to heat their water. It is illogical to put restrictions on shower flows when no restrictions are put on bathing which uses significantly more energy. These regulations apply even if you’re not connected to the national grid or town water supply.


Political Quote of the Week

“Life is like a game of cards. The hand that is dealt you represents determinism, the way you play it is a free will” – Jawaharlal Nehru - First Prime Minister of India


Dr Richard Worth

National Party MP


ENDS

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On Last Night’s Leaders Debate

Do political debates change voter intentions, and cause voters to switch sides? According to a 2019 Harvard Business School study conducted across 61 elections in nine countries involving 172,000 respondents, the answer would seem to be a resounding “No.” Political debates have little effect on voter behaviour, let alone on election outcomes. Crucially, the limited effect they do have does not involve a change in voters’ policy preferences... More>>

 

Government: More Border Exceptions For Critical Roles

The Government has established class exceptions for border entry for a limited number of veterinarians, deep sea fishing crew, as well as agricultural and horticultural machinery operators. “Tight border restrictions remain the backbone of the Government’s ... More>>

ALSO:

PM: Auckland At Bolstered Level 2, Rest Of Country Provisionally At Level 1

Pandemic alert levels for the whole country have been reviewed by Cabinet and Prime Minister Jacinda Ardern is announcing whether restrictions will be eased. More>>

ALSO:

Labour: Supporting Workers And Valuing Their Contribution

Making sure working New Zealanders are safe, healthy and that their contribution to the economy is valued is at the heart of Labour’s Workplace Relations Policy.
“This is Labour demonstrating its commitment to helping working New Zealanders by increasing sick leave, raising wages, protecting them while they are at work, growing jobs and investing in the economy,”... More>>

ALSO:

PREFU: Economy Doing Better Than Forecast

The Pre-election Economic and Fiscal Update released today shows that the near-term economic recovery has been stronger than the Treasury and many economists predicted at the May Budget, as the economy bounced back strongly out of lockdown... More>>

ALSO:


Electoral Commission: Candidate And Party Lists Released

17 registered political parties and 677 candidates will be contesting the 2020 General Election Nominations have now closed and the Electoral Commission has released the electorate and party list candidates for 2020 online at vote.nz . Advance voting ... More>>

National: Plan To Restore NZ’s Prosperity

National’s Economic and Fiscal Plan carefully balances the need to invest in infrastructure and core public services while also reducing tax pressure on Kiwi families and businesses. National Leader Judith Collins and Finance spokesperson Paul Goldsmith unveiled National’s ... More>>

ALSO:

NZ First: Party List

New Zealand First has a proven twenty-seven-year history of bringing balance and common sense to our government. Amid the continued setbacks of COVID-19 restrictions, New Zealand First has once again sustained its profile by selecting a strong team ... More>>

Election: Arriving Travellers In Isolation To Be Able To Vote By Telephone

Up to 5,000 people in managed isolation or quarantine will be able to vote by telephone in the general election and referendums after an amendment to electoral regulations last week. Chief Electoral Officer Alicia Wright says the Electoral Commission sought ... More>>

National: Investing In Our Children’s Future

A National Government will prioritise lifting achievement for all New Zealand children, no matter their background or ability, National Party Leader Judith Collins and National’s Education spokesperson Nicola Willis say. “Parents just want what’s best for ... More>>

 
 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 


 

InfoPages News Channels