Alliance Party slams GST rise and calls for tax on financial speculation

The Alliance Party says raising GST to 15% will hurt the majority of New Zealanders and cause financial stress and hardship.

Alliance Party spokesperson Victor Billot says that the John Key income tax cuts are only tax cuts for those earning John Key style incomes.

"This is a Government that is doing nothing for the majority, and whose policies are hurting the majority for the benefit of a few."

He says the majority of people will see their income tax cuts eaten up by the rise in GST.

"Wages are not keeping up with with the cost of living increases for basics like food, electricity and transport."

Mr Billot says GST should be phased out altogether, starting with food.

He says GST could be replaced by a Financial Transactions Tax or "Robin Hood Tax" is becoming increasingly popular around the world.

A capital gains tax that excluded the family home was another option.

The Alliance supports a progressive income tax system that would pay for free education and health, reduce the tax burden on lower income earners and raise more taxes from high income earners.

This is necessary to create a fair society, good services and equal opportunities for all New Zealanders to live in a civilized society.

The Alliance together with Socialist Worker are promoting the Tax Justice campaign which is running a successful petition to take GST off food and tax financial speculation instead. The campaign is collecting signatures in many New Zealand towns and cities on 1–2 October. More information at w

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