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

 

Capital Gains Tax Proposal Fatally Flawed


Today’s Tax Working Group report recommendation for a new capital gains tax will not address residential housing affordability but it will penalise business owners and create costly complexity in our tax system, meaning it is fatally flawed, according to Business Central.

"New Zealand’s tax system is envied worldwide. The proposed capital gains tax increases compliance costs without boosting productivity," says Business Central Chief Executive John Milford.

"Business Central agrees with the conclusions of the minority view on the Tax Working Group.

"A capital gains tax is just another cost on business, nothing more.

"A capital gains tax that excludes the family home ends up excluding the majority of New Zealand’s residential property market, drastically weakening its ability to improve housing affordability.

"Far from reducing speculation in the housing market and encouraging investment elsewhere, a capital gains tax will actually hurt businesses even more - by taxing business investment, properties, assets, shares, as well as any sale of a business itself.

"Businesses, exporters and employers will end up shouldering the burden of this proposal which is supposedly aiming to target residential property speculators.

"It is inescapable that SME owners, farmers, and families saving for their retirement will face significant extra costs should this tax go ahead. All of which will lead to lower investment and growth of New Zealand’s economy.

"Introducing a ‘valuation day’ concept for all assets will be incredibly complicated and lead to significant implementation costs across the economy.

"By the Government’s own criteria, this proposal does not improve the fairness, balance and structure of our tax system.

"It is not too late for the Government to stick with New Zealand’s well designed, broad-based tax system."

ENDS


© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

PM's Statement: Deadly Eruption Of Whakaari / White Island

At this stage, we can confirm that amongst those currently listed as missing or injured are New Zealanders who were part of the tour operation, and tourists from Australia, the United States, the United Kingdom, China and Malaysia. That is to the best of our knowledge.

To those who have lost or are missing family and friends, we share in your unfathomable grief at this moment in time, and in your sorrow. Your loved ones stood alongside kiwis who were hosting you here. We grieve with you, and we grieve with them... More>>

Police Update: Work Continues On Recovery; Clarification On Investigation
Police has been working with Defence and Fire and Emergency NZ (FENZ) to determine conditions on the island including gas levels in the atmosphere, so that we can understand the nature of the current conditions...
Police can also confirm we have commenced an investigation into the circumstances of the deaths and injuries on Whakaari / White Island... To correct an earlier statement, it is too early to confirm whether there will also be a criminal investigation. More>>

Gordon Campbell: On The Eruption And Tourism Safety
Adventure tourism is a central theme in New Zealand tourism, and by definition, adventure always includes a certain level of risk. That said, New Zealand itself is also at risk of being seen as a tourism destination where commercial factors – rather than safety factors – are routinely allowed to determine the point where the boundary line of acceptable risk is being drawn. More>>

 
 

Mosque Attacks: Names Of Arresting Officers Released

Police are now in the position to name the two officers involved in the arrest of the alleged gunman responsible for the attacks on the Al Noor and Linwood Mosques on March 15. More>>

Big, Bold, Permanent Change Needed: Children's Commissioner On 2019 Child Poverty Monitor

“I want to see family incomes dramatically raised by increasing benefits and making the minimum wage a living wage. And the Government needs to move much faster at increasing the supply of social housing..." More>>

ALSO:

RNZ Live Updates: Weather Mayhem Strands Tourists; Major Roads Closed

Hundreds of tourists are stranded on the West Coast, and on the other side of the South Island a flood-damaged bridge has closed State Highway 1, after a weekend of torrential rain... More>>

ALSO:

Policing: Armoured Specialist Police Vehicles

New Zealand Police has taken delivery of three Armoured Special Purpose Vehicles. The vehicles are unmarked and look like standard Toyota Land cruisers... They will not be used for patrol. More>>

Single Use PVC And Polystyrene Out: Next Steps On Plastic Waste

The Government will phase out more single-use plastics following the success of its single-use plastic bag ban earlier this year and the release today of a pivotal report for dealing with waste. More>>

ALSO:

Faafoi Statement: Minister's Suspicious Immigration Texts

I have apologised to the Prime Minister and understand I have let her down in regards to my dealings with Jason Kerrison over an immigration matter concerning his family. More>>

ALSO:

NZ First Conflicts Of Interest: New Details Around Timeline

New information has emerged showing it was the New Zealand First chief of staff who identified potential conflicts of interest between a forestry company and two senior government ministers, sparking a series of declarations. More>>

Earlier:

Donations:

Five New Cancer Meds In Six Months: Pharmac Funds More Cancer Medicines, Faster Assessment

PHARMAC has confirmed that two new medicines – olaparib for ovarian cancer and fulvestrant for breast cancer – have been approved for funding... Rituximab and bortezomib, which are already funded, have also been approved for widened access following successful commercial proposals from new suppliers. More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 


 

InfoPages News Channels