web analytics

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?

Recent Comments

Recent Posts

  • Petition for free vote on Shop Trading Hours Bill
    “Labour is petitioning the Government to allow National Party MPs to have a free vote over Easter shop trading legislation, says Pacific Island Affairs spokesperson Su’a William Sio.  “The Bill which allows shop trading on Easter Sundays has just had ...
    11 hours ago
  • Council must build on heritage, not destroy it
    Auckland Council must move to ensure there are heritage protections in place following recommendations that demolition restrictions be tossed out, Labour’s Arts, Culture and Heritage spokesperson Jacinda Ardern says. The panel considering the Unitary Plan has recommended removing partial protections ...
    12 hours ago
  • Numbers of Māori waiting for homes grows
    With the number of Māori households waiting for homes increasing by more than 20 per cent in the past year, it’s time the Māori Party admits its support of the Government’s state house sell-off has made life worse for whānau, ...
    12 hours ago
  • Children’s ministry, but only for some
    The Government is stigmatising a whole cohort of young New Zealanders while leaving others behind with its creation of a Ministry for Vulnerable Children, Labour’s Children’s spokesperson Jacinda Ardern says. “Confirmation of the move by Hekia Parata, an acting Minister, ...
    15 hours ago
  • QUESTIONS FOR (ORAL) ANSWER – Thursday 28TH OF JULY
    While Parliament might be in recess, there are still plenty of things that Ministers need to answer for. So the Labour team has put together six of the best questions that the Government should be answering today (plus a special ...
    16 hours ago
  • Fee fi fo fum…tax swindle comes undone
    At the same time the Government is looking to pump more cash into private schools the IRD is investigating several over a tax swindle which allows parents to falsely claim private school fees as donations and claim a rebate, Labour’s ...
    18 hours ago
  • Government scuppers affordability requirements
    The Government must explain why the panel considering Auckland’s unitary plan removed affordability requirements at the behest of the Ministry of Business, Innovation and Employment and Housing NZ, Leader of the Opposition Andrew Little says. “Labour welcomes the Independent Hearing ...
    1 day ago
  • National pushes on with failed state house sell-off
    Merchant bankers, overseas companies and property developers will be lining up to buy 364 state houses in Horowhenua during two days of “market sounding” meetings starting tomorrow, Leader of the Opposition Andrew Little says. “Despite a housing crisis and families ...
    2 days ago
  • QUESTIONS FOR (ORAL) ANSWER- WEDNESDAY 27TH OF JULY
    While Parliament might be in recess, there are still plenty of things that Ministers need to answer for. So the Labour team has put together six of the best questions that the Government should be answering today (plus a special ...
    2 days ago
  • Andrew Little’s International Affairs Speech
    Tena Koutou Katoa Can I begin by acknowledging: Sir Doug Kidd, President, NZ Institute of International Affairs Maty Nikkhou-O’Brien, Executive Director, who did all the organising for today’s event. Labour’s foreign affairs spokesperson David Shearer. Victoria University of Wellington law ...
    2 days ago
  • Inquiry into surgical mesh needed now
    The Government must urgently launch a Ministerial inquiry into surgical mesh after more than 500 patients have lodged claims of complications with the ACC, say Labour’s Health spokesperson Annette King.  “This is the most widespread crisis involving surgical devices in ...
    2 days ago
  • Crime on the increase yet again
    Police Minister Judith Collins’ contention that crime is falling has proven to be wrong yet again, with latest Police statistics showing an increase in most crimes, Labour’s Police spokesperson Stuart Nash says. “Figures for June 2016 show an increase in ...
    2 days ago
  • Major reform of careers and apprenticeships to meet Future of Work
    The next Labour Government will transform careers advice in high schools to ensure every student has a personalised career plan, Leader of the Opposition Andrew Little says. “Today I am announcing the next Labour Government will commit to a major ...
    3 days ago
  • DOC struggles on the pest front undermine Nats’ predator-free promise
    The Government’s planned predator-free initiative comes at the same time as the Department of Conservation is facing major challenges to keep pest numbers down, says Labour’s Conservation spokesperson Nanaia Mahuta.  “DOC’s annual report shows it failed on 5 out of ...
    3 days ago
  • QUESTIONS FOR (ORAL) ANSWER- TUESDAY 26TH OF JULY
    While Parliament might be in recess, there are still plenty of things that Ministers need to answer for. So the Labour team has put together six of the best questions that the Government should be answering today (plus a special ...
    3 days ago
  • Unfunded CYF a ticking time bomb
    The Ministry of Social Development is sitting on a ticking time bomb with Child, Youth and Family out of pocket by $56 million despite increased demand for its services, Labour’s Children’s spokesperson Jacinda Ardern says. “The new entity that’s replacing ...
    3 days ago
  • Lack of any real funding in predator free proposal
    Predator Free New Zealand is a laudable idea but the Government has not committed any real money into killing New Zealand’s pests, says Labour’s Conservation spokesperson Nanaia Mahuta.  “The $28 million earmarked for this project is just to set up ...
    3 days ago
  • Andrew Little Speech to LGNZ Conference
    Thank you for having me here today. Local Government New Zealand’s work of advocating for New Zealand’s 78 local councils is critical as we upgrade New Zealand’s economy, and make sure it’s delivering for all our people. Whether in Auckland, ...
    3 days ago
  • John Key must sack out-of-depth Trade Minister
    The Prime Minister must sack Todd McClay for failing to do his job as Trade Minister and be on top of a significant potential threat to some of our biggest exporters, Opposition Leader Andrew Little says. “Todd McClay is clearly ...
    3 days ago
  • 45,000 Kiwis sent back to their GPs
    Last year nearly 45,000 Kiwis were sent back to their GPs without getting to see specialists they were referred to, says Labour’s Health spokesperson Annette King. “This is a shocking figure and underlines how far the cut of $1.7 billion ...
    4 days ago
  • Half a million smells like pure cronyism
    The National/ACT Government’s decision to pump hundreds of thousands of taxpayer dollars into a new lobby group to advocate for charter schools shows just how much of a failure their ideological experiment has become, Labour’s Education spokesperson Chris Hipkins says. ...
    4 days ago
  • Select committee changes Kermadec/Rangitāhua Ocean Sanctuary Bill
    Photo by Tom Hitchon Parliament’s Local Government and Environment Committee has made many changes to the Kermadec/Rangitāhua Ocean Sanctuary Bill in response to public submissions, particularly submissions from iwi authorities and Te Ohu Kaimoana.   Read the amended Bill and the ...
    GreensBy Eugenie Sage
    6 days ago
  • Housing map a hit as crisis spreads across NZ
    More than 55,000 New Zealanders have used Labour’s interactive housing map in its first week to see how the housing crisis is affecting their local community, Labour Housing spokesperson Phil Twyford says. “Our innovative map shows the housing crisis is ...
    7 days ago
  • Bridges must come clean about fraud within transport
    Hundreds of thousands of dollars of public money have gone missing and  the Minister of Transport, Simon Bridges must come clean after the Labour party revealed that a senior manager is being investigated for serious fraud, says Labour’s Transport Spokesperson ...
    1 week ago
  • Labour supports Spencer victory
    Labour congratulates Margaret Spencer for her tireless efforts in challenging the Government over family carer rights, says Labour’s Deputy Leader Annette King. ...
    1 week ago
  • US Warship visit welcomed by Labour
    Labour sees the United States warship visit as a red letter day for New Zealand’s non-nuclear status, which is core to our identity and has defined us a nation for 30 years, says Labour’s Deputy Leader Annette King. ...
    1 week ago
  • Time for honest dairy sector conversation
    ...
    1 week ago
  • What next? Dog kennels?
    Social Housing Minister Paula Bennett needs to explain why the Government thinks it is acceptable for it to refer families to live in garages and sheds, says Labour’s Housing spokesperson Phil Twyford. “This is a new low, just when you ...
    1 week ago
  • Banks bust a move, Government possum in the headlights
    Three of the big four banks have acted responsibly by bringing the shutters down on property speculators earlier than required by the Reserve Bank, says Labour’s housing spokesperson Phil Twyford. “It’s a shame the Government isn’t as motivated to act ...
    1 week ago
  • Latest OECD dairy forecast raises serious questions for economy
    The latest global dairy price forecast shows that New Zealand dairy farmers will not reach a break-even payout before 2019 at the earliest, and will not reach the dairy price factored into this year’s Budget until after 2025, Labour’s Finance spokesperson ...
    1 week ago
  • National’s reckless, out of touch approach to economy exposed
    Today’s economic assessment from the Reserve Bank highlights the danger to the New Zealand economy from a National government that is recklessly complacent in the face of a housing crisis and a struggling export sector, Labour’s Finance spokesperson Grant Robertson says. ...
    1 week ago
  • GP’s visits get more expensive
      Visiting the GP is set to become more expensive after the Government ignored warnings that people were not receiving access to affordable  healthcare, says Labour’s Health spokesperson Annette King.  “Over 400,000 New Zealanders who should be able to access ...
    1 week ago
  • Farm prices bear brunt of dairy downturn
    The slump in dairy prices that has seen farm prices drop to their lowest level since 2012 and down a third from their peak in 2014 will be of concern to farmers, banks and our overall financial stability, Labour’s Finance ...
    1 week ago
  • Reserve Bank “gets on with it”, National carries on in denial
    The proposal by the Reserve Bank to tighten loan to value ratios for investors shows they are prepared to do their bit to crack down on speculators, while National is still stuck in denial mode, Labour’s Finance spokesperson Grant Robertson says. ...
    1 week ago
  • Housing crisis holds up interest rate cuts
    The housing crisis that National still wants to deny is stifling the New Zealand economy, says Labour’s Finance Spokesperson Grant Robertson. “The latest Consumers Price Index shows that all prices excluding housing and household utilities decreased 0.5 per cent – ...
    2 weeks ago
  • Housing crisis holds up interest rate cuts
    The housing crisis that National still wants to deny is stifling the New Zealand economy, says Labour’s Finance Spokesperson Grant Robertson. “The latest Consumers Price Index shows that all prices excluding housing and household utilities decreased 0.5 per cent – ...
    2 weeks ago
  • Govt’s state house sell-off ramping up
    Government plans to ramp up the state house sell-off by selling another 1000 houses in 2016/17 will mean more families in need missing out, says Leader of the Opposition Andrew Little. “New figures show the Government plans to sell 1000 ...
    2 weeks ago
  • Govt’s state house sell-off ramping up
    Government plans to ramp up the state house sell-off by selling another 1000 houses in 2016/17 will mean more families in need missing out, says Leader of the Opposition Andrew Little. “New figures show the Government plans to sell 1000 ...
    2 weeks ago
  • National must reassure exporters on dumping case
        The National Government needs to show our key exporters that they are in control of any anti-dumping case against China before it damages some of our most important industries, Labour’s Finance spokesperson Grant Robertson says.     ...
    2 weeks ago
  • National must reassure exporters on dumping case
        The National Government needs to show our key exporters that they are in control of any anti-dumping case against China before it damages some of our most important industries, Labour’s Finance spokesperson Grant Robertson says.     ...
    2 weeks ago
  • Papers describe litany of incredulity
    Treasury documents which slate the Government’s plans for a national bowel screening programme confirm the proposal was nothing more than a political stunt to cover up underfunding of the health sector, Labour’s Health spokesperson Annette Kings says.  The papers were ...
    2 weeks ago
  • Effect of rampant house prices widens
    The latest house price figures from REINZ show the housing crisis expanding throughout the country, says Labour’s Housing spokesperson Phil Twyford. “We are seeing steep increases in median house prices in Central Otago Lakes – up 42.4% in the last ...
    2 weeks ago
  • Public invited to have say on homelessness
    People who are homeless, those who were once homeless, those working with the homeless and concerned New Zealanders are being asked to share their experiences and solutions to this growing issue with the Cross-Party Homelessness Inquiry. This inquiry was launched ...
    2 weeks ago
  • Sorry seems to be the hardest word
    An apology from Hekia Parata to the people of Christchurch is long overdue, Labour's Education spokesperson Chris Hipkins says. "As if the earthquakes weren't traumatic enough, Hekia Parata and the Ministry of Education then attacked the one thing that had ...
    2 weeks ago
  • Housing crisis affecting more than 98 per cent of NZ
    Labour’s new housing map shows the housing crisis is now affecting more than 98 per cent of New Zealand, Leader of the Opposition Andrew Little says. “Housing pressures have seen house prices rise faster than wages in all but four ...
    2 weeks ago
  • Uber might not be a taxi firm but it must pay tax
    Uber needs to explain how it paid only $9000 in tax when it earned $1m in revenue and is one of the fastest growing companies in the country, says Labour’s Finance spokesperson Grant Robertson. “Uber New Zealand appears to be ...
    2 weeks ago
  • Tax changes should have been made 3 years ago
    National could have avoided the international stain on our reputation from the Panama Papers if it had let IRD’s planned review of foreign trusts go ahead three years ago, instead of now belatedly acting because of the Shewan recommendations, says ...
    2 weeks ago
  • Government must stop state house sell-off
    The Government must immediately pull the plug on its planned sell-off of state houses in order to stop the housing crisis getting any worse, Labour’s Housing spokesperson Phil Twyford says. “While Paula Bennett is putting people into transit camps in ...
    2 weeks ago
  • Thoughts on Labour’s new housing policies
    The Labour Party launched its package of ideas to fix the housing crisis over the weekend. Their ideas match ours in many ways. This is good news, because it means that when we change the government we’ll be ready to ...
    GreensBy James Shaw
    2 weeks ago
  • Thoughts on Labour’s new housing policies
    The Labour Party launched its package of ideas to fix the housing crisis over the weekend. Their ideas match ours in many ways. This is good news, because it means that when we change the government we’ll be ready to ...
    GreensBy James Shaw
    2 weeks ago

Public service advertisements by The Standard

Current CO2 level in the atmosphere