tax

Categories under tax

Right plans give away to rich at your expense

Written By: - Date published: 6:48 am, November 18th, 2008 - 72 comments

Part of the National/ACT government’s agreement is that a top tax rate of 30% will be the target for the ‘medium term’. Such a cut would cost about $2 billion a year. Now, I have nothing in principle against reducing tax (and nothing in principle against increasing it, for that matter). It’s a question of […]

The Standard line: Tax cuts

Written By: - Date published: 12:21 pm, October 30th, 2008 - 23 comments

[update: download this (tax-and-kiwisaver-calculator) simple excel table that will calculate tax cut and Kiwisaver losses under Labour and National, and the difference, for you and your family. No other calculator has included Kiwisaver losses] So, you’re talking with someone about politics and they say something really dumb and wrong and you know it’s wrong but you don’t […]

The Standard line: Kiwisaver

Written By: - Date published: 11:37 am, October 24th, 2008 - 26 comments

So, you’re talking with someone about politics and they say something really dumb and wrong and you know it’s wrong but you don’t have the arguments and facts at your fingertips to make a decisive point. That’s where our election series, The Standard line, comes in. The info you need in bite-size form. Today: Kiwisaver Points […]

Wrong time for short-term thinking

Written By: - Date published: 10:55 am, October 14th, 2008 - 90 comments

National’s Nick Smith has announced that they would cancel the $1 billion fund to insulate New Zealand houses, which the Greens won as part of the Emissions Trading Scheme. This massive programme would improve energy efficiency, create warmer, healthier homes and would provide useful employment during the downturn. A study, ironically carried out under National and mentioned to me […]

Trickle-down

Written By: - Date published: 11:22 am, October 12th, 2008 - 11 comments

A few thoughts from today’s Agenda: Questioned about why National would introduce another tax rebate, having endlessly criticised Working for Families because of its complexity, English says ‘we do, in the long term, want a simpler tax system’. So, be on notice, Working for Families is under threat from National – they would ‘eventualy, but […]

John’s cheese

Written By: - Date published: 9:03 am, October 12th, 2008 - 16 comments

For the many of you who won’t know, Tory boys David Farrar and Cameron Slater have been driving around the country interviewing MPs and youtubing the results. They did John Key in Rotorua the other day and the result is telling: What particularly interested me was Key’s response to DPF’s question (at 1’45”) about what […]

Costs of the Nats tax cuts – commentators’ views

Written By: - Date published: 12:15 pm, October 9th, 2008 - 4 comments

Here’s a smattering of what some of the commentators are saying: Gordon Campbell: Putting tax cuts ahead of science and research neatly underlines the lack of vision, or sensible strategy for growth in the National package … The cutbacks on science and research will only send more scientists and high tech jobs offshore and rob New […]

Reviews of Nats’ tax cut/Kiwisaver cut/R&D cut policy

Written By: - Date published: 7:27 pm, October 8th, 2008 - 37 comments

Just a quick note at the start for our press gallery friends who live in central Wellington on high incomes. 50% of New Zealanders have an income below $27,000 and 50% of workers earn less than $37,000 a year (all of which is heaps higher than it was under National). The point is this: National’s […]

No tax cut for most from Nats

Written By: - Date published: 1:40 pm, October 8th, 2008 - 91 comments

As predicted on The Standard, National has announced it would abolish the increases in the bottom threshold to pay for tax cuts for the rich. Here’s a break down of what would happen: April 1 2009: Lift 33 cent thresold from $40K to $48K, reduce 39 cent rate to 38 cents. April 1 2010: Lift […]

Tax cuts for the rich

Written By: - Date published: 1:12 pm, October 8th, 2008 - 29 comments

National has released its tax policy. At first glance it appears the top rate will be reduced to 37% by 2011, giving the rich thousands of dollars in tax cuts. People earning $24-50k who aren’t getting Working for Families will get $15 a week rebate by 2011. Working families will basically get nothing, except for […]

The test

Written By: - Date published: 8:40 am, October 8th, 2008 - 84 comments

After building a political career that has consisted of little more than calling for tax cuts and attacking those that were delivered, John Key will finally present his party’s tax cut package today. Already, they have had to reduce its size but they will still make it the central part of their mystical economic platform […]

Farce

Written By: - Date published: 10:01 pm, October 7th, 2008 - 18 comments

It was with wry amusement I read Bill Ralston’s revisionist history of New Zealand superannuation today. According to Bill it was Muldoon who created an “unsupportable” super scheme as an election bribe in 1975. Of course anyone who remembers the situation (as Bill certainly should) knows full well that the real story was big Norm’s […]

Changing the subject

Written By: - Date published: 2:05 pm, October 7th, 2008 - 15 comments

Former National advisor Richard Long has let the cat out of the bag. The day before National’s much-hyped, cure-all tax cut package is to be announced, he is desperately trying to change the subject. National has nothing but tax cuts to offer, it has been their one consistent answer for every problem but, now, tax cuts are […]

Previewing the Prefu

Written By: - Date published: 12:49 pm, October 5th, 2008 - 9 comments

Tomorrow the government’s books will be opened up. It is not expected to be a pretty picture. Oil prices and the credit crunch have forced the economy into recession. The debt to GDP ratio will be higher than was modelled in the Budget for three reasons (at this point, I just want to remind our excitable righties that […]

How big is big enough?

Written By: - Date published: 9:51 am, October 3rd, 2008 - 21 comments

The first round of the tax cuts that National derided as the ‘block of cheese’ tax cuts kicked in on Wednesday. Next week, National will show us how they would do better. How much on top of Labour’s cuts do you expect National to offer? Given National has guaranteed all major areas of spending except […]

Great expectations

Written By: - Date published: 1:54 pm, October 1st, 2008 - 25 comments

John Key is being pretty evasive on his tax cut plan. He won’t say whether the famous ‘$50 a week for the average worker’ (note that’s not every worker, your income has to be $47K plus) is additional to Labour’s cuts, the first round of which came into effect today. Given the evasiveness, it’s safe to […]

National lies, again

Written By: - Date published: 12:25 pm, October 1st, 2008 - 69 comments

National just can’t stop lying. We’ve covered National’s lies on wages and migration in the past and our last two posts have debunked National’s lies on crime, the economy, compliance costs, corruption, press freedom and, well, just about everything. Now they’ve resorted to repeating David Farrar’s discredited lies by deliberately misquoting Helen Clark on tax. […]

Nats: Pay cuts for you, tax cuts for the rich

Written By: - Date published: 3:07 pm, September 30th, 2008 - 15 comments

Bill English has put out a press release whingeing about Helen Clark’s promise to lift wages for low-paid school support staff, and fearmongering that it might mean Michael Cullen will cancel his tax cuts. Presumably, English’s statement means National would cancel the planned pay increase to help fund its tax cuts for the rich. These […]

What will you do with your tax cut?

Written By: - Date published: 9:46 am, September 29th, 2008 - 46 comments

If your annual income is over $14,000, your tax will decrease by $12 to $28 a week from Wednesday. That’s a reduction of up to 26% on the income tax you pay. By 2011, people will be paying up to 31% less income tax (graphs here). With boosts to Working for Families, many people with […]

Did you pay the tax, John?

Written By: - Date published: 6:38 am, September 24th, 2008 - 34 comments

Generally, when you buy capital and later sell it, there is no tax payable on any profit. Unless you buy with the propose of selling the capital for a profit. That being the case, your buying and selling of the capital is engaging in an activity to generate income and tax is payable. It is […]

PSA launches campaign

Written By: - Date published: 1:53 pm, September 23rd, 2008 - 33 comments

The PSA’s campaign looks to get past National’s simplistic ‘tax cuts, tax cuts, tax cuts’ mantra and ask voters to consider what they would have to give up to get larger tax cuts. (full size) Great stuff. Hopefully, they won’t be limiting this campaign to internet and magazine ads. Every kiwi family should get this […]

How would Nats cut tax? Where would the money come from?

Written By: - Date published: 10:54 am, September 16th, 2008 - 22 comments

Bill English has confirmed that National still intends to give the average worker a $50 tax cut. That’s $18 a week more than they will get in Labour’s tax cuts after 2011. If National’s would increase the cut for all taxpayers by around $18 a week it would cost nearly $3 billion a year. In […]

ToryAid: Wastewatch (4)

Written By: - Date published: 10:54 am, September 1st, 2008 - 20 comments

Because National has abandoned its wastewatch website, we keep track of the ‘waste’ National has promised to cut to pay for those magical, mysterious, cure-all tax cuts. Here’s what they’ve said they will cut: 1) Embassy in Sweden – approx $3 million capital, $3 million operating (why it’s not waste) 2) Badges about Te Reo […]

Kiwisaver cuts to fund Nats’ tax cuts?

Written By: - Date published: 4:54 pm, August 5th, 2008 - 16 comments

So, the rumour is that Kiwisaver will be slashed to fund National’s tax cut policy. Currently, the Government spends up to the following on each Kiwisaver member: – $1000 on sign-up – Up to $1040 a year in matching contributions – Up to $1040 a year in tax credit to employers – 30% tax deduction […]

Key’s vision: tax cuts for rich, more debt for youse

Written By: - Date published: 3:39 pm, August 3rd, 2008 - 71 comments

In a speech described by attendees as ‘more bullet points’, John Key announced to the National Party conference today that National would borrow $5 billion more over 6 years to finance infrastructure – specifically roads and the broadband ‘plan’. The money-man has dressed it up cleverly, of course. A fancy new class of ‘investment vehicle’ will be […]

Spinbusting: Nats’ borrowing not for tax cuts

Written By: - Date published: 10:58 am, August 2nd, 2008 - 75 comments

Today, Bill English is outlining National’s plan to undo the work of the past fifteen years and take this country further into debt. He will argue that National would not be borrowing for its programme of tax cuts for the wealthy, rather it would borrow for investment. That is a lie. We already borrow for […]

Nats painted into a corner

Written By: - Date published: 12:55 pm, July 28th, 2008 - 30 comments

John Key has announced Working for Families would be kept unchanged by a National-led government. That’s the same Working for Families that National attacked endlessly. Key himself said “Working for Families is a real ‘Maharey special”. It started as a mess, it was completed as a mess, and it will remain a mess the whole […]

Taxing choices

Written By: - Date published: 12:40 pm, July 21st, 2008 - 85 comments

There are four options open to National regarding the tax expectations it will deliver large tax cuts ($20+ per person a week = $3 billion+ a year) additional to Labour’s. a) fail to meet those expectations by offering small cuts. Who would vote for a one-trick pony that won’t do its trick? b) cut taxes […]

Key comes out against wage increases

Written By: - Date published: 2:27 pm, July 16th, 2008 - 25 comments

This morning on Sunrise, John Key said “wage inflation” is a problem causing inflation and needs to be reduced. Wage inflation is a businessman’s way of saying pay increases. John Key opposes Kiwis getting the pay increases they need to cover the rising cost of living. This fits with his statement that “we would love […]

Contrary to Key, Govt does target waste

Written By: - Date published: 11:21 am, July 13th, 2008 - 54 comments

The idea that a government would purposely spend money in a wasteful manner is patently absurd. Voters want more government services and lower tax, any dollar of wasteful spending not only takes away from a government’s ability to meet those desires but also gives voters an active reason to vote against the Government. That’s a […]

On flat tax

Written By: - Date published: 4:51 pm, July 12th, 2008 - 62 comments

We have a progressive tax system, whereby the portion of income paid in tax increases with income. Many on the Right argue that moving to a flat tax system, where everyone pays the same portion of tax on income at all income levels, would be fairer. Let’s look at what such a change would entail. […]

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