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


Aspirational taxes are the Best Taxes

Aspirational taxes are the Best Taxes

New Zealand could have an aspirational tax structure driving wealth creation by 2020.

“New Zealand could have a tax system that underpins wealth creation not wealth destruction,” said Dr. Jamie Whyte, “and it would take only six years to do it.”

“We know that lower tax rates boost economic activity in the economy. Taking more tax out of people pockets to fund the schemes of interest groups and politicians buying votes destroys wealth creation. Lower taxes stops governments going crazy with the taxpayer’s chequebook.”

“A low flatter personal income tax rate rewards hard work. It is efficient and fair for all. Everyone gets to keep much more of their hard won earnings and this increases the incentive to earn more and take on more responsibility.”

ACT will immediately lower the top personal tax rate to 24% and then lower it to a flat tax of 17.5% by 2020.

“ACT would immediately lower the corporate tax rate to 20%, decreasing it to 12.5% by 2020. Combined with regulatory reform this will increase our growth rate from 2% to 4% per annum – doubling our GDP in 15 years.”

Business would have the cash to increase wages. That’s why countries with lower corporate tax rates have higher wages. Each 1% reduction in the company tax rate increases wages by between 0.3% and 0.5%. Companies could invest in capital equipment to raise productivity. That would benefit every New Zealander.

Low corporate taxes would increase job security simply because companies could shore up funds for downturns in their trading cycle. Prosperous growing companies don’t lay off workers. Foreign direct investment in profitable employment rich firms would increase.

“This really could be a wealthy country where everyone benefited from prosperity, where there were well paid jobs and people had hopes of a much brighter future.”

“All we need to do is get the tax monster out of the picture and get the funds back into the productive economy where they belong,” said Dr Whyte.


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On Why New Zealand Needs To Change Its Defence Habits

In a flashback to the military displays of days gone by, one of our frigates recently joined a Carrier Strike show of force in the South China Sea, en route to a joint military exercise in Singapore with our traditional allies, called BersamaGold21. Reportedly, Anna Powles, from the Centre of Defence and Security Studies at Massey University felt this to be a case of us doing our bit to uphold international law, and the right of free transit through the region in question... More>>

Government: New COVID-19 Protection Framework Delivers Greater Freedoms For Vaccinated New Zealanders

Vaccinated New Zealanders will regain everyday freedoms when the country moves to a new simplified COVID-19 Protection Framework that doesn’t rely on nationwide lockdowns as the main measure to stop the virus spreading. In a suite of announcements that establish a pathway out of restrictions the Government is also providing up to $940 million per fortnight to support businesses through the challenging period... More>>



Government: Responds To Independent Review Into WorkSafe

The Government has clear expectations that WorkSafe must action the recommendations of the independent review into the regulator to improve its management of adventure activities following the tragedy at Whakaari White Island, Workplace Relations and Safety Minister Michael Wood says... More>>

Government: New Zealand Secures Historic Free Trade Deal With The United Kingdom
New Zealand and the United Kingdom have agreed in principle the details of a historic Free Trade Agreement (FTA), which will further accelerate our COVID-19 economic recovery say Prime Minister Jacinda Ardern and Minister for Trade and Export Growth Damien O’Connor... More>>


Ombudsman: Launches Investigation Into MIQ Booking System
The Chief Ombudsman Peter Boshier is launching a broad investigation into the Managed Isolation and Quarantine (MIQ) booking system after receiving hundreds of complaints... More>>


Pay Cheque To Pay Cheque: Half A Million New Zealanders Have No Savings
New findings from the Consumer NZ sentiment tracker found that 15% of New Zealanders had no savings, and a further 27% were anxious about their level of savings and would like to have more tucked away... More>>

Government: Mandatory Vaccination For Two Workforces

Large parts of two workforces critical to preventing the spread of COVID-19 will be required to be vaccinated, COVID-19 Response Minister Chris Hipkins said today. “Our education and health and disability workforces have done an incredible job throughout this pandemic to keep themselves and people safe,” Chris Hipkins said.... More>>

Green Party: Deeply Concerned Space Launches May Be Breaching Nuclear-free Laws

The Green Party is deeply concerned that space launches by Rocket Lab may be breaching nuclear-free laws, given our long-standing position as a signatory of the Nuclear Non-Proliferation Treaty... More>>




InfoPages News Channels