Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 

Tax Proposals - "A Sledgehammer To Crack A Nut"

Citizens Advice Bureaux Slam Tax Proposals As “Using A Sledgehammer To Crack A Nut”

Citizens Advice Bureaux today strongly criticised as an ‘overreaction’ proposals to tighten the taxing of charities.

Nick Toonen, CEO of the New Zealand Association of Citizens Advice Bureaux, was responding to the Inland Revenue Department’s discussion document on tax and charities.

“The whole tax and charities review seems to be based on a concern that a few border-line charities have benefited from the current tax laws, and largely ignores the importance of these benefits to charitable community organisations such as Citizens Advice Bureaux.

“It’s hard to be clear on the impact of the proposed changes on Citizens Advice Bureaux, and in the absence of any clear benefits we feel the changes are unnecessary.

“The review appears to want to use a sledgehammer to crack a nut. We suggest Government should refrain from withdrawing vital support to community organisations and focus instead on weeding out those few charities that they feel are not doing the right thing.”

According to Mr Toonen, the review has also got things back to front when it describes Government as providing a subsidy to charitable community organisations.

“It is ironic that the discussion paper presents a view that Government, through taxation, subsidises the community sector, a sector that is run and staffed largely by volunteers.

“We think the whole premise for Inland Revenue’s review of the tax laws in relation to charities is false. Their proposals are based on the assumption that charities exist to provide welfare services on behalf of the government. This ignores the fact that charities emerge when people organise to respond to community needs, and as part of meeting those needs seek some support from government.

“The estimated dollar value of our 2,700 volunteers’ efforts is well over $10 million each year. While we are one of the largest voluntary organisations in the country, we are just one of an enormous number of groups providing services to the community based on the work of volunteers. So who is subsidising whom?” said Mr Toonen.

The review proposes tightening up which charities have tax-exempt status by changing the definition of ‘charitable purpose’. Mr Toonen says that that this will place greater burden on organisations working on meeting a diverse range of needs in the community with limited resources and mainly volunteer workers.

“If these proposals go ahead, there will be situations where a charity’s tax-exempt status will be taken away if it does not meet the Government of the day’s own criteria. Citizens Advice Bureaux won’t know from year to year whether we will have tax exempt status. So while the charity is meeting community needs that are often overlooked by Government, Governments may be stripping away crucial support.

“While the review has come up with some useful proposals, we strongly feel Government should stick with the status quo, and instead continue to focus its energy on working with the community sector in its vital role supporting individuals and communities.

“We are surprised these proposals have been made in the International Year of Volunteers, when the existing definition of ‘charitable purpose’ has served communities, governments and charitable voluntary organisations very well for over 400 years.”


Ends

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Politics Of Using The Word “Fascist”

“Fascist” is one of those labels with the ability to capsize any debate. Call your opponents “fascists” – or “agitators” or “terrorists” or “scum” and you’ve taken the option of mutual respect and compromise off the table. Interesting then to see the ( paywalled) Washington Post seriously debating with itself yesterday over whether… Hmm, is it now finally time to bring out the f-word in connection with the presidency of Donald J. Trump, and with his enablers in the Republican Party..? More>>

 


RNZ: Covid-19 rules and restrictions on businesses to be lifted under alert level 1


Prime Minister Jacinda Ardern says there will still be strict controls on the border, but all current rules and restrictions on businesses and services will be "essentially lifted" under alert level 1.
She said the lower alert level would also put an end to restrictions for hospitality businesses, and gatherings - including funerals and tangihanga - of any size could take place..... More>>

ALSO:

Gordon Campbell: On The Twitter Wars, And The Muller Muddles

Whatever the failings of our own politicians, spare a kind thought for the majority of Americans who did not vote for Donald Trump. Sure, it was depressing this week to watch Todd Muller clinging for dear life to his talking points on Q&A, ... More>>

ALSO:

Green Party: Statement On The Death Of George Floyd

“Today and every day we stand in solidarity with George Floyd’s family, friends and community who feel pain and fear about his untimely death at the hands of Minneapolis police”, said Green Party Co-leader and Māori Development spokesperson Marama ... More>>

ALSO:


Government: Freshwater Package Backed By Comprehensive Economic Analysis

Decisions on the Action for Healthy Waterways package are supported by comprehensive environmental and economic impact analysis by leading New Zealand research institutes, universities, and private sector firms. More>>

ALSO:

National: "Todd Muller Announces Shape Of Next Government"

National Party Leader Todd Muller has announced the line-up of the next Government. “New Zealand is facing perhaps the toughest time that almost anyone alive can remember. “We are borrowing tens of billions of dollars to get us through this crisis. There ... More>>

ALSO:

Gordon Campbell: On National’s Day Of Reckoning

Congratulations. You are one of the 55 members of the National caucus being called together tomorrow to choose who will lead you to either (a) catastrophic or (b) honourable defeat on September 19, thereby saving some (but not all) of the jobs currently on the line. Good luck. Your decision process starts NOW... More>>

ALSO:


Budget 2020: Jobs Budget To Get Economy Moving Again

Investments to both save and create jobs in Budget 2020 mean unemployment can be back to pre COVID-19 levels within two years and could see the economy growing again as early as next year. More>>

ALSO:

Government: Five New Super Hercules To Join Air Force Fleet

The Coalition Government has confirmed five Lockheed Martin C-130J-30 Super Hercules transport aircraft will be purchased to replace the existing fleet, Defence Minister Ron Mark announced today. More>>

ALSO:

Government: Queen's Birthday Honours List 2020

The New Zealand Order of Merit The Queen has been pleased, on the occasion of the celebration of Her Majesty's Birthday, to make the following appointments to The New Zealand Order of Merit: DNZM To be Dames Companion of the said Order: Distinguished ... More>>

Government: Support For Arts And Music Sector Recovery

A jobseekers programme for the creative sector and four new funds have been set up by the Government to help our arts and music industry recover from the blow of COVID-19. Thousands of jobs will be supported through today’s $175 million package ... More>>

ALSO:

Government: New Zealand Joins Global Search For COVID-19 Vaccine

Foreign Affairs Minister Winston Peters, Research, Science and Innovation Minister Megan Woods, and Health Minister David Clark today announced a COVID-19 vaccine strategy, which will enable New Zealand scientists to contribute to global research efforts ... More>>

ALSO:

The Dig: Steady State Economics: We’ve Got Some (systems) Thinking To Do

In this time of impending economic and ecological crises, we urgently need to aim for a sustainable or ‘steady state’ economy. In order to get there, we will need to adopt a ‘systems-thinking’ outlook taking into account the interconnections of our complex world.

In short, we’ve got some systems thinking to do... More>>

ALSO:

Election 2020: Parties Get Into gear

The Green Party is pleased to reveal its candidate list for the upcoming election. With a mix of familiar faces and fresh new talent, this exceptional group of candidates are ready to lead the Greens back into Government. Using the most democratic list ... More>>

ALSO:

Insight Into Regenerative Agriculture In New Zealand

There is a fast growing movement in New Zealand that has been happening out in paddocks, fields, gardens and hill country across the nation. It is a movement that holds the promise to reshape our productive land use industries towards systems that work with the natural environment to regenerate the land. The movement is that of regenerative agriculture. More>>

ALSO:

Covid-19: Tracer App Released To Support Contact Tracing

The Ministry of Health has today formally released the NZ COVID Tracer app to support contact tracing in New Zealand. Kiwis who download the app will create a digital diary of the places they visit by scanning QR codes displayed at the entrances to ... More>>

ALSO:


Govt: Deep Concern At Hong Kong National Security Legislation
Foreign Affairs Minister Winston Peters today reiterated the deep concern of the New Zealand Government following confirmation by China’s National People’s Congress of national security legislation relating to Hong Kong.... More>>

ALSO:


 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 


 

InfoPages News Channels