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Govt defends tax haven

Written By: - Date published: 8:33 am, October 8th, 2012 - 31 comments
Categories: class war, tax - Tags:

So, it turns out that our ‘foreign trusts’ regime is being exploited so that billionaires from developing countries can avoid tax in their countries. We’re a tax haven. And the Government sees nothing wrong with that. It’s legal, so it’s OK. Yes, we’re helping a foreign elite avoid paying their fair share and rip off poor people, but hey, this is a National Government – that sounds like paradise to them.

31 comments on “Govt defends tax haven”

  1. Akldnut 1

    but hey, this is a National Government – that sounds like paradise to them.

    I cam hear RWNJ’s through out the country screaming out “But it was put in place by a Labour Govt”

  2. burt 2

    Sounds like we are talking about Labour’s best friend Owen Glenn… Funny it was OK when it was a Labour party donor….

    • Kotahi Tāne Huna 2.1

      Déjà vu all over again.

      I have a question: when people point out to you that “he did it too” didn’t work at kindergarten, do you ignore it, forget it, or fail to understand it?

      Not to mention that it exposes your affected outrage at “welfare” as sheer hypocrisy.

    • KJT 2.2

      Didn’t like Labour’s capitulation to the rich and greedy, either!

      And said so repeatedly at the time.

  3. AsleepWhileWalking 3

    Transaction Tax : )

  4. Cayte Shepherd 4

    Read ‘Treasure Islands’ by Nicholas Shaxson to know more about these secrecy jurisdictions. Seems like the International trust funds, used by tax avoiders and evaders from off shore were set up by Prebble, Douglas and co as they left the Labour Party by the right hand door. Remember what Jim Anderton conveyed. The Labour Party left me?
    Tax havens were set up by bankers, which banker/bank is in charge of the nation?
    Also go to http://www.taxjustice.net and http://www.treasureislands.org for good information.

    • Colonial Viper 4.1

      And co-incidentally, virtually every government in the western world is short of tax income. Where is all that money escaping to? NZ tax shelters pushing up the NZ dollar and killing our industries, it would seem.

      • Poission 4.1.1

        US companies have around 1 trillion in cash in overseas havens.Three companies Cisco,GE and Apple have around 250 billion in cash offshore.

        http://www.reuters.com/article/video/idUSBRE88P04C20120926?videoId=237977032

        They are arguing that they can only reshore the cash if the tax system is changed .This brings us to the strange position where 26/100 of the most highly paid CEO,s in the US get paid more then their companies pay in federal tax.

        That is the fundamental underlying problem.

        What I would like to know is does Peter Dunne have 500 paid up members?

        if not he is gone.

    • prism 4.2

      I thought I heard recently that the Cook Islands were a tax haven. I thought no, that was stopped when Winston Peters brought forward the holy Winebox. The sacred bits of information that showed up those NZ shysters who had infiltrated a shonky but working economy and set up a new, stripped down, minimally shonky economy after throwing out the baby with the bathwater. Marvellous set of cliches eh?

      But seriously what is the Cook Island situation now?

      • Herodotus 4.2.1

        there was a doco 5+ years ago from ABC 4 corners or some other Australian tv series that illustrated the near impossibility from changing the Cooks Is tax as the law was almost. The original setup was a few Aussie bankers/lawyers etc that setup the system.
        From a search I was unable to locate a link to the program, perhaps someone can remember this with more clarity and info to provide some linkage.
        Remember even our politicians utilise the system for personal advantage e.g. pension funds. So if the law makers are into it how will it ever change????

  5. ianmac 5

    The Winebox enquiry. Winston Peters. Tax havens Cook Islands. Now NZ is the venue.
    “Legitimate Tax Avoidance,” says Peter Dunne. He reckons it is OK (if you are wealthy enough) to use the system to avoid paying your share of taxes. Perhaps time to explore that?

    • David H 5.1

      And what will happen if we tell the Tax man we’re not paying tax because we are using Legitimate Tax avoidence, we’d end up in jail.

  6. prism 6

    Key talked about us being a ‘financial hub’. So has he allowed or facilitated that to happen.
    A hub that is just part of a larger vehicle for keeping money moving around so that it never stays in one place long enough to be taxed or invested in anything but casinos.

  7. This Government defies all credibility.

  8. NEW ZEALAND – A TAX HAVEN!

    HIDING BEHIND THE ‘PERCEIVED’ STATUS AS THE ‘LEAST CORRUPT COUNTRY IN THE WORLD’?

    How convenient…….

    October 7th – Treasure Islands
    http://ondemand.tv3.co.nz/60-Minutes-Treasure-Islands/tabid/59/articleID/8315/Default.aspx

    Penny Bright
    ‘Anti-corruption campaigner’
    Attendee: 2010 Transparency International Anti-Corruption Conference

    http://www.dodgyjohnhasgone.com

    • This country is simply turning into one big confidence trick-100% pure [bullshit]

      I sincerely hope we can turn in a better direction and undo the damage that is being created by this ship of fools (commonly referred to as “The NZ Government) :(

  9. captain hook 9

    when are day gonna bring in sum gurls for a bunga bunga party?

  10. God of nations! at Thy feet

    In the bonds of contempt and greed we meet,

    Hear our voices, we entreat,

    God defend our Tax Haven.

    Guard Pacific’s triple star rating,

    From the buggers promoting open accountancy,

    Keep our valuables off the balance-sheet

    God defend Our Tax Haven

    ***

    Wealthy Men of ev’ry creed and race

    Gather here before Thy face,

    Asking Thee to bless our Safes,

    God defend our Tax Haven.

    …With dissension, envy, hate,

    And corruption…really….whatever it takes,

    Make our riches become unseen,

    God defend Our Tax Haven.

    ***

    Peace, not war, shall be our boast,

    But, that’s really ever all we do; is boast,

    No reality in our spin; it never really comes close,

    OH! New Zealand’s tax free coast!

    Lord of battles in our might,

    Put our enemies to flight,

    May we have eternal tax-free wealth,

    God defend Our Tax Haven.

  11. Poission 11

    Dunne responds with a load of twaddle,providing further evidence that it is time he was gone.

    http://www.scoop.co.nz/stories/PA1210/S00135/dunne-new-agreement-makes-mockery-of-tax-haven-claims.htm

    Unfortunately two of the countries mentioned on 60 minutes,are not included in the DTA.

    Columbia. Peru are MIA.

    http://taxpolicy.ird.govt.nz/tax-treaties

  12. Draco T Bastard 12

    And thus we come to the negative attention of the international community again.

    Which I am afraid shows just how willing he is to deny the truth. The whole point of this trust law is that there is no NZ tax issue arising from its use by a foreign person, so the Inland Revenue in NZ will never have reason to investigate.

    By his own misinformation does Mr Dunne confirm the truth.

    • Good article DTB,

      Sadly, its probably not negative attention for the money whores…probably something akin to free advertising for them. Do you have any idea what the pay-off for NZ in this is? I’m guessing there is a money-hungry hope that having the richest people in the world using the country as an invisible safe, that they might look into the country and infest in it? Would that be the reasoning behind such an arrangement?

      [Infest wasn’t a spelling mistake by the way……]

    • Jackal 12.2

      I was surprised to learn that we’re considered internationally as one of the best Tax Havens around:

      New Zealand is one of the safest places to consider when investing abroad. The country has stable political and economical systems. The jurisdiction although it offers offshore services and advantages has not been targeted or black listed as a harmful tax haven. The laws which govern offshore entities in New Zealand are very modern and are up to par with its more developed offshore counterparts. The assets placed in New Zealand offshore entities are well protect by New Zealand laws. The tax haven of New Zealand is very helpful for persons who are considering reducing their tax liabilities.

      • Colonial Viper 12.2.1

        At least Shonkey is delivering on his promise of turning us into a “global financial hub”.

        • Draco T Bastard 12.2.1.1

          Those laws have been around since the 4th Labour government put them in place.

        • Jackal 12.2.1.2

          Yeah! For money launderers, arms dealers, mafia gangsters and fraudsters… Non of which is beneficial for New Zealand.

    • Dv 12.3

      From DTB ref
      Peter Dunne
      There’s nothing sinister about that – minimising one’s tax has always been within the law, that’s the difference between avoidance and evasion,” he said.

      BUT what about this
      http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=10650576

      “the Court of Appeal, by a two to one majority, concluded that the adoption of the company structure and the non-payment of market salaries, without legitimate reason, amounted to tax avoidance”

      • Draco T Bastard 12.3.1

        Oh dear, it seems that the law disagrees with Peter Dunne. Why am I not surprised?

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    New figures showing just five Ministers have met the Government’s own reduced targets for appointing women to state sector boards is evidence National is failing Kiwi women, Labour’s Women’s Affairs spokesperson Sue Moroney says. “The Ministry for Women’s 2015 Gender… ...
    4 days ago
  • Charges up for some as funding up for grabs
    A proposal being considered by the Government would see some people having to pay more for health care and district health boards forced to fight amongst themselves to fund regional health services, Labour’s Health spokesperson Annette King says “Information leaked… ...
    4 days ago
  • Stop experimenting on kids
    The trouble with the Charter school model is that it is a publicly funded experiment on children. The National Government has consistently put its desire to open charter schools ahead of the safety of the children in them, ignoring repeated… ...
    GreensBy Catherine Delahunty MP
    5 days ago
  • Bank puts the squeeze on mid Canterbury farmers
    News that an unnamed bank in Ashburton has put a receiver on notice over financially vulnerable farmers will send a chill through rural New Zealand, says Labour’s Finance Spokesperson Grant Robertson. “The Government needs to work with  New Zealand’s banks… ...
    5 days ago
  • Key is trading away New Zealand land and homes
    John Key yesterday admitted what National dishonestly refused to confirm in Parliament last week – he is trading away New Zealand’s right to control who buys our homes and land, says Opposition leader Andrew Little. “The Prime Minister must now… ...
    5 days ago
  • Razor gang takes scalpel to health
    Plans by the Government to take a scalpel to democratically elected health boards are deceitful and underhand, coming just months after an election during which they were never signalled, Labour’s Health spokesperson Annette King says “Leaked documents reveals a radical… ...
    5 days ago
  • Spin lines show a department in chaos
    Corrections Spin Doctors sending their place holder lines to journalists instead of responding to serious allegations shows the scale of chaos at the department over the Serco scandal, says Labour’s Corrections Spokesperson Kelvin Davis. “As more and more serious allegations… ...
    7 days ago
  • Court ruling shows law should never have been passed
    A High Court ruling that a law banning prisoners from voting is inconsistent with a properly functioning democracy should be a wake-up call for the Government, Labour’s Justice spokesperson Jacinda Ardern says. In an unprecedented ruling Justice Paul Heath has… ...
    1 week ago
  • Judicial Review Gamble Pays Off for Problem Gambling Foundation
    Congratulations are due to the Problem Gambling Foundation (PGFNZ) who have won their legal case around how the Ministry of Health decided to award their contracts for problem gambling services to another service provider. Congratulations are due not just for… ...
    GreensBy Denise Roche MP
    1 week ago
  • Environmental Protection Agency appoints GE advocate as new CEO
    This week, the Environmental Protection Authority Amendment Bill passed its first reading in Parliament. The Bill puts protection of the environment into the core purpose of the Environmental Protection Authority. This month, Dr Allan Freeth, the former Chief Executive of… ...
    GreensBy Steffan Browning MP
    1 week ago
  • Charanpreet Dhaliwal death demands genuine health and safety reform
    The killing of a security guard on his first night on the job is exactly the kind of incident that National’s watered-down health and safety bill won’t prevent, says Te Atatu MP Phil Twyford. The coronial inquest into 22-year-old Charanpreet… ...
    1 week ago
  • Arbitrary sanctions hit children hardest
    Increasing numbers of single parents are being penalised under a regime that is overly focussed on sanctions rather than getting more people into work, Labour’s Social Development spokesperson Carmel Sepuloni says. “Figures, obtained through Parliamentary questions show 3000 more sanctions,… ...
    1 week ago
  • Hekia just won’t face the facts
    Hekia Parata’s decision to keep troubled Whangaruru Charter school open despite being presented with a catalogue of failure defies belief, goes against official advice and breaks a Government promise to close these schools if they were failing, says Labour’s Education… ...
    1 week ago
  • No more silent witnesses
    Yesterday I attended the launch of a new initiative developed by and for Asian, Middle eastern and African youth to support young people to name and get support if there is domestic violence at home. The impact on children of… ...
    GreensBy Jan Logie MP
    1 week ago
  • Single Use Plastic Bags campaign – Some wins and some green-washing
    As we near the end of Plastic Free July I’m nearing the conclusion of my Say No To Plastic Bag tour when I will have completed all 30 of my public meetings. The campaign was designed to work with community… ...
    GreensBy Denise Roche MP
    1 week ago
  • Single Use Plastic Bags campaign – Some wins and some green-washing
    As we near the end of Plastic Free July I’m nearing the conclusion of my Say No To Plastic Bag tour when I will have completed all 30 of my public meetings. The campaign was designed to work with community… ...
    GreensBy Denise Roche MP
    1 week ago
  • Minister must take responsibility for problem gambling debacle
    The Government’s handling of the Problem Gambling Foundation’s axing in a cost-cutting exercise has been ham-fisted and harmful to some of the most vulnerable people in society, Associate Health Labour spokesperson David Clark says.“Today’s court ruling overturning the axing of… ...
    1 week ago
  • Labour will not support TPP if it undermines NZ sovereignty
    The Labour Party will not support the Trans Pacific Partnership Agreement unless key protections for New Zealanders are met, Opposition leader Andrew Little says.“Labour supports free trade. However, we will not support a TPP agreement that undermines New Zealand’s sovereignty. ...
    1 week ago
  • Coleman can’t ignore latest warnings
    Resident doctors have advised that a severe staffing shortage at North Shore Hospital is putting patients’ lives at risk, Labour’s Health spokesperson Annette King says. “They say a mismatch between staffing levels and patient workloads at North Shore has… ...
    1 week ago
  • ACC must remove barriers to appeals
    The Government must prioritise removing barriers to justice for ACC claimants following a damning report by Acclaim Otago, Labour’s ACC spokesperson Sue Moroney says. “ACC Minister Nikki Kaye must urgently scrap her flawed plan to remove claimant’s right to redress… ...
    1 week ago
  • Six months’ paid parental leave back on the agenda
    Six months’ paid parental leave is back on the agenda and a step closer to reality for Kiwi parents after Labour’s new Member’s Bill was pulled from today’s ballot, the Bill’s sponsor and Labour MP Sue Moroney says. “My Bill… ...
    1 week ago
  • Sole parents at risk of having no income
    New requirements for sole parents to undertake a reapplication process after a year is likely to mean a large number will face benefit cancellations, but not because they have obtained work, Labour’s Social Development spokesperson Carmel Sepuloni says. “Increasing numbers… ...
    1 week ago
  • Juking the Welfare Stats Again
    Last week the government’s major initiative to combat child poverty (a paltry $25 increase) was exposed for what it is, a lie. The Government, through the Budget this year, claims to be engaging in the child poverty debate, but instead,… ...
    GreensBy Jan Logie MP
    1 week ago
  • OCR rate cut a result of flagging economy
    The Reserve Bank's decision to cut the Official Cash Rate to 3 per cent shows there is no encore for the so-called 'rock star' economy, says Labour's Finance Spokesperson Grant Robertson.   "Today's interest rate cut comes off the back… ...
    1 week ago
  • Reboot to an innovation economy, an Internet economy and a clean economy
    In my short 33 years on this planet we’ve seen phenomenal technological, economic and social change, and it’s realistic to expect the next 33 will see even more, even faster change. You can see it in the non-descript warehouse near… ...
    GreensBy Gareth Hughes MP
    1 week ago
  • Bill that puts the environment into the EPA passes first hurdle
    A Bill that puts the environment squarely into legislation governing the Environmental Protection Authority passed its first reading today, says Meka Whaitiri.  “I introduced this member’s bill as the current law doesn’t actually make protecting the environment a goal of… ...
    1 week ago
  • Key’s KiwiSaver deception exposed
    KiwiSaver statistics released today expose John Key's claim that the cutting of the kickstart payment "will not make a blind bit of difference to the number of people who join KiwiSaver” to be duplicitous, says Labour Finance Spokesperson Grant Robertson.  “Official… ...
    1 week ago
  • Minimum Wage Amendment Bill to protect contractors
    All New Zealanders should be treated fairly at work. Currently, the law allows non-employment relationships to be used to get around the minimum wage. This is unfair, says Labour MP David Parker. “The Minimum Wage (Contractor Remuneration) Amendment Bill, a… ...
    1 week ago
  • Bill raises bar to protect Kiwi farmland
    The Government’s rubber-stamping of every one of the nearly 400 applications from overseas investors to buy New Zealand farm land over the last three years proves tougher laws are needed, Labour MP Phil Goff says. “In the last term of… ...
    1 week ago
  • Costly flag referendum should be dumped
    John Key must ditch the flag referendum before any more taxpayer money is wasted, Opposition Leader Andrew Little says. “Millions of dollars could be saved if the Prime Minister called a halt to this hugely expensive, and highly unpopular, vanity… ...
    1 week ago
  • Nats letting Serco off scot free
    Government members have prevented Parliament’s Law and Order select committee from getting answers out of a senior Serco director about the fight clubs being run at Mt Eden prisons, says Labour’s Corrections Spokesperson Kelvin Davis. “At today’s Law and Order… ...
    1 week ago
  • Charter school experiment turns into shambles
    The National Government’s charter school experiment has descended into chaos and it’s time for Hekia Parata to stop trying to cover up the full extent of the problems, Labour’s Education spokesperson Chris Hipkins says. “The Education Minister must release all… ...
    1 week ago

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