Last week the IRD released an important review that found the mega-wealthy pay barely half of the tax worker pay.
In 2011, NZ had 104,000 of those who are in the 1% wealthiest, in 2021 that number is 284,000.
The mega-wealthy love NZ and its pitiful tax regulation.
Economist Bernard Hickey noted that if we had an effective capital gains tax, it would have raised $ 200 billion in revenue.
As we attempted to comprehend the vast injustice of this, Labour quickly calmed everyone down by promising not to raise any new taxes on the wealthy.
Some would argue this type of political cowardice is not what we need in 2023 as we face an onslaught of need.
That’s why the Māori Party Tax policy demands our attention. They have been clear that GST will be taken off food and their Financial Transaction Tax would punish speculators and the mega-wealthy most.
If Labour is unwilling to do something serious about the sprawling inequality of our tax system, (which in turn robs us of the revenue to build our public services), voters must consider The Māori Party this election.
With food inflation likely to continue spiking, tax and the cost of living crisis will be issued whether Labour like it or not.
First published on Waatea News.
Wait for it, wait for it…
Capital gains tax is a total distraction. Why
Most socially minded would like to see more support given to those in need and cutting taxes for those on low incomes. Most socially minded supports better public services.
Why did the Scandinavian countries opt for a wealth tax and Sweden abandoned it in 2007? And others are probably going to abandon wealth tax soon? Because it causes wealth to leave the country.
A capital gains tax that is based on receiving income received or transfer of wealth through gifts are a very simple way of creating a more progressive tax regime and it can be an efficient way to collect this additional tax and redistribute it in the form of public services.
Most conservatives and progressives support taxes on wealth transfers such as gifts, inheritance and dividends. Unfortunately, some progressives see a need to punish the wealthy and that is what holds us back from being more generous. Once the arguments turns to fairness even the rich focus on entitlements. Let’s create a society that cares about alleviating need, not one fixated on entitlements.
fairy tales johan
You are correct.
We believe in fairy tales.
no the belife in neo-lib unicorns is a different thing johan
It is difficult to see how these suggestions differ from the more usual capital gains advocacy.
To take GST OFF certain items destroys the simplicity of the current system and there would be little benefit as the 15 percent gain will be lost in administration. All it would do is pay for more public servants in an already bloated market.
We are smarter than that. That argument is totally outdated. It is in fact very easy to implement a more diverse set of rules for the collection of GST.
We will be a much better society for it if we reform our GST settings.
This is one area of taxation that can be tailored to alleviate poverty. We will come out ahead as long as government does not go out and get someone to develop a software programme to help us collect the GST. There are off the shelf programmes so easy to operate that even our tax department will not be out of their depth.
Let’s do this. Let’s turn the regressive nature of GST into a positive.
Of course you are right Trevor, so why not take gst off all food. We’ll while any Government might like to get onside with all the public, they are not willing to let go of the $2.5 billion they take out of people’s mouths in the form of gst on food. Regardless of so called luxuries, you can argue no food should be taxed on top of income tax. Now that governments have had their snout in the food gst trough they will never pull it out. The Maori party will never be the government imo in the next little while so they, like all minor parties can say what they like.
Keep spending 1 million dollars on Kainga ora housing that doesn’t last more than 3 years! Plenty more money available, to tax others to pay for it! (I wonder why people are leaving NZ?)
Auckland flooding: Several Kāinga Ora houses lifted off their foundations
https://www.newshub.co.nz/home/new-zealand/2023/01/auckland-flooding-several-k-inga-ora-houses-lifted-off-their-foundations.html
“When they moved in Maria said she was told it was a million-dollar home.
She and her mother are wondering why their three-year-old home was so badly damaged in the floods.”
Or perhaps those that have donated millions to Nationaland ACT could put that money to better use and support quality housing for those in desperate need. I thought not.
Render Council Tax obsolete!
Have central government fund the essential services and any add on services goes to the wolves in the private sector to see if they can make a business out of if in the ‘free market’.
Infrastructure is too expensive for local populations to pay for.
Make councilors redundant and redefine local boards to make decision locally.
Agree their tax policy is reasonable but it comes with a big dose of Maori sovereignty so unlikely to appeal to too many
With all due respect, they only need to appeal to 16% of the population. ACT policy is geared to the top 1% of the population and will drag as many others into the fold as they can. TPM are no different.
As for your claims of sovereignty, TPM want the treaty to be recognized, and the for the words on the treaty to be honoured, which is not sovereignty.
BREAKING NEWS!
Meka Whaitiri the iPhone chucka is jumping waka! To the Maori Party!
Snap election coming!