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Helen Clark's credibility test

"It's one reason why we propose increasing the top personal tax rate. That rate would see people earning over $60,000 paying 39 cents in the dollar, up from 33c. This is necessary to provide some additional revenue to allow essential social and economic initiatives to be implemented immediately." (Dr Cullen - Taranaki Daily News 11.3.99)

"The increased revenue will be spent on lifting pensions for the elderly, reducing rents for those in state houses, reducing the costs of tertiary education, increasing spending on health and in promoting industry development - particularly in the regions," Dr Cullen said. (Labour press release 24.3.99)

Dr Cullen, Labour's finance spokesman, said $1 billion in extra tax collected from the top 8 percent of income earners would help fund the (credit card) proposals. (Hawkes Bay Today 12 May 1999)

"Labour's proposed tax increase has never been intended, nor has it been claimed to be intended, to cover the cost of the pledges at full implementation." (Dr Cullen - Evening Post 24.5.99)

Labour's policy is to raise income taxes for people earning over $60,000 (about 5% of taxpayers) to help fund some of it's key promises such as cheaper state houses, more money to cut hospital waiting times, and a reversal of last year's cut to the pension-wage link. (Southland Times 11.6.99)

The additional revenue from this (tax increases) will be used to improve social services, to reverse National's pension cuts, restore income-related State house rentals, reduce barriers to tertiary education, improve access to public health services, and to implement our industry assistance policy. (Press 12.10.99 - Party Policies on Tax)

Ends

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