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

 

CTU supports a fairer tax system

CTU supports a fairer tax system

The Council of Trade Unions supports the tax policy announced today by the New Zealand Labour Party.

Peter Conway CTU Secretary, who participated in the Tax Working Group, says "this is a carefully considered and responsible policy framework. It will be good for the Government accounts but also good for the economy. But above all it is fairer than our current tax system."

"It is interesting to compare this tax framework with the tax switch pushed through by the National Government. Their tax switch did not help the economy, it pushed up the cost of living for those who could least afford it, created an inflation spike, and was not fiscally neutral. It also hugely increased income inequality - when combined with National's 2009 package, the tax switch increased the take home pay gap between someone on $30,000 a year and someone on $150,000 a year by a massive $135 per week."

A comprehensive capital gains tax is based on the principle that it is fairer to have a tax framework where every dollar of income earned, from whatever source, is taxed.

"Our economy has been disadvantaged by the absence of a capital gains tax. This has impacted on house prices, flowed through to interest rates and the exchange rate, and damaged productive investment, jobs and export performance."

Peter Conway said that the higher income tax rate affects those earning more than three times the average wage so is a very modest change.

"Many New Zealanders, especially those on low incomes, will welcome the confirmation that GST will be removed on fruit and vegetables and the first $5,000 of earnings are tax-free. Those measures, along with a lift in the minimum wage to $15 an hour would assist those struggling to cope with the cost of living."

ENDS

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Sharma Chameleon


Gather round the camp-fire, folks. Let me tell you about the Ice Age era of the fourth Labour government, when mean, sabre-toothed tigers like Richard Prebble ranged at large within the Labour caucus. A being so mean and fierce that - legend has it – he once made Michael Cullen cry. So while Labour MP Dr Gaurav Sharma may (or may not) have suffered cruelly at the hands of his colleagues one thing is clear: former Labour whip Kieran McAnulty is no Richard Prebble. If you can be bullied by the likes of Kieran McAnulty, you might need to have your hand held while you cross the road in the political traffic...
More>>




 
 

Privacy Commissioner: Public Input Sought To Inform Privacy Rules For Biometrics
Privacy Commissioner Michael Webster is encouraging New Zealanders to have their say on the use of biometric information in Aotearoa New Zealand... More>>

National: Food Prices Climb Taking Kiwis Backwards
Kiwi families continue to battle runaway food prices, National’s Finance spokesperson Nicola Willis says... More>>



Transport & Infrastructure: Have Your Say On The Future Of Inter-regional Passenger Rail In New Zealand

The Transport and Infrastructure Committee has opened an inquiry into the future of inter-regional passenger rail in New Zealand. The aim of the inquiry is to find out what the future could hold for inter-regional passenger rail... More>>



Government: Creating Sustainable Public Transport For All
Workers and public transport users are at the heart of the new Sustainable Public Transport Framework, Transport Minister Michael Wood announced today... More>>

Government: Tax Break To Boost Long-term Rental Supply
The Government is encouraging more long-term rental options by giving developers tax relief for as long as the homes are held as long-term rentals, the Housing Minister Megan Woods has announced... More>>


National: NZ Migrant Arrivals Hit Lowest Mark Since 1990s
Today’s net migration figures show that Labour has failed to deliver the desperately needed skilled migrants they promised, meaning labour shortages will persist into the future, National’s Immigration spokesperson Erica Stanford says... More>>


 
 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels