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Sextuple the tax on rubbish will hammer the poor

The Environment Minister’s plan to sextuple the waste-to-landfill tax is a revenue grab that will hammer poorer taxpayers, says the New Zealand Taxpayers’ Union.

Taxpayers’ Union spokesman Louis Houlbrooke says, “Like any levy, this will be a regressive tax hike, with a disproportionate impact on the budgets of large households in the country’s poorest suburbs. If it brings in the forecast $220 million, that’s a tax hike of $120 per Kiwi household, per year.”

“This is yet another painful tax hike that betrays the Government’s claims of compassion for the poor.”

“Meanwhile, the beneficiaries of this proposal will be the businesses taking handouts from the poorly managed Waste Minimisation Fund, and the local councils that get a revenue boost. No wonder they’re supporting it.”

Earlier this year the Tax Working Group pointed out that increasing the rubbish tax will cause a spike in illegal dumping. Even the Green Party should agree that it’s better for old mattresses to end up in the tip than dumped on the road or riverside.”

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