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Migrant Surcharge Discriminatory, Says Tax Reform Campaign

ACT’s new immigration policy, which would require a $6 per day surcharge on temporary visa holders, is discriminatory says the Better Taxes for a Better Future Campaign.

“This policy singles out one of the most vulnerable groups in Aotearoa New Zealand for an extra charge that many will struggle to pay,” says Glenn Barclay, spokesperson for the Better Taxes for a Better Future Campaign. “These workers are often poorly paid, and to single them out is discriminatory.”

“Sectors such as horticulture and viticulture rely heavily on temporary visa holders and this tax will not only impact on these vulnerable workers, but also on businesses operating in those sectors,” says Barclay.

ACT’s stated intention behind the surcharge is addressing the country’s infrastructure needs, but the Better Taxes campaign says this is just a smokescreen to avoid addressing the real cause of inadequate funding for infrastructure, and the $80m revenue it would generate would be a tiny fraction of our $200b infrastructure deficit.

”The main reason for our infrastructure problems in this country is lack of investment over many years. We have failed to ensure the wealthy and big corporates, who rely heavily on our public infrastructure to generate wealth and run their businesses, are paying their fair share of tax to maintain it. This is the problem we need to address to fund infrastructure,” says Barclay.

“Workers already pay the vast majority through income tax and GST, and Treasury released a report earlier this year demonstrating that foreign born New Zealanders comprised 32% of the workforce, yet their share of tax paid was 38%. We shouldn’t be putting more of the load on the shoulders of some of the most vulnerable workers in Aotearoa New Zealand.”

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“Political parties scapegoating migrants to shield the super rich and corporate giants from scrutiny over how little tax they pay and their role in declining living standards is one of the oldest tricks in the book,” say Barclay. “But in the context of the current fuel and cost of living crises, it’s increasingly clear to ordinary people in Aotearoa New Zealand that the push for ever greater profits by corporations, their ultra wealthy executives and shareholders is to blame for the pressure we’re experiencing, not hardworking migrants.”

“In fact, as so many New Zealanders are seeking opportunities overseas and our population ages, our economy stands to benefit from welcoming migrants who come to work, live and pay tax here. If only the super rich and big corporates were willing to make the same contribution,” says Barclay.

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