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.


        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.



    How convenient…….

    October 7th – Treasure Islands

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


    • 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.


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

    Columbia. Peru are MIA.


  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

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

        • Jackal

          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

      “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


  • September benefit figures disappointing
    The Government is out of touch with the reality that fewer people are going off the benefit and into employment or study, says Labour’s Social Development spokesperson Carmel Sepuloni.  “The quarterly benefit numbers for September are concerning. They show that ...
    12 hours ago
  • MFAT officials refuse to back Prime Minister on Saudi sheep claims
    An Ombudsman’s interim decision released about the existence or otherwise of legal advice on the multimillion dollar Saudi sheep deal shows MFAT has failed to back up the Prime Minister’s claims on the matter, says Labour MP David Parker. “The ...
    14 hours ago
  • Nats still planning to take Housing NZ dividend
    Housing New Zealand’s Statement of Performance Expectations shows that the National Government intends to pocket $237m from Housing New Zealand this year including a $54m “surplus distribution”, despite promises that dividends would stop, says Labour’s Housing spokesperson Phil Twyford. “After ...
    1 day ago
  • Parliament must restore democracy for Ecan
    Parliament has a chance to return full democracy to Canterbury with the drawing of a member’s bill that would replace the Government’s appointed commissioners with democratically elected councillors, says Labour’s Canterbury Spokesperson Megan Woods. “In 2010, the Government stripped Cantabrians ...
    2 days ago
  • Police struggle to hold the line in Northland
    Labour’s promise of a thousand extra police will go a long way to calming the fears of people in the North, says the MP for Te Tai Tokerau Kelvin Davis.  “Police are talking about the Northland towns of Kaitaia and ...
    2 days ago
  • Urgent action on agriculture emissions needed
    Immediate action is required to curb agricultural emissions is the loud and clear message from Climate change & agriculture: Understanding the biological greenhouse gases report released today by the Parliamentary Commissioner for the Environment, says Labour’s Climate Change spokesperson Megan ...
    2 days ago
  • Super Fund climate change approach a good start
    Labour Finance Spokesperson Grant Robertson and Climate Change Spokesperson Dr Megan Woods have welcomed the adoption of a climate change investment strategy by the New Zealand Super Fund. “This is a good start. It is a welcome development that the Super ...
    3 days ago
  • Raising the age the right thing to do
    The announcement today that the Government will leave the door open for young people leaving state care still means there is a lot of work to do, says Labour's Spokesperson for Children, Jacinda Ardern "The Government indicated some time ago ...
    3 days ago
  • Coleman plays down the plight of junior doctors
    Junior doctors are crucial to our health services and the industrial action that continues tomorrow shows how desperately the Government has underfunded health, says Labour’s Health spokesperson Annette King.  “Jonathan Coleman’s claim that he has not seen objective evidence of ...
    3 days ago
  • Inflation piles pressure on National and Reserve Bank
    While many households will welcome the low inflation figures announced today, they highlight serious questions for both the National government and the Reserve Bank, Labour’s  Finance Spokesperson Grant Robertson said.  "While low inflation will be welcomed by many, the ...
    4 days ago
  • Officials warned Nat’s $1b infrastructure fund ineffective and rushed
    Treasury papers show the Government rushed out an infrastructure announcement officials told them risked making no significant difference to housing supply, says Labour’s housing spokesperson Phil Twyford.  “Like so much of National’s housing policy, this was another poll-driven PR initiative ...
    4 days ago
  • More cops needed to tackle P
    New Police statistics obtained in Written Questions show John Key is losing his War on P, highlighting the need for more Police, says Opposition Leader Andrew Little.  “New Zealanders expect serious action on P but today’s hodgepodge of half-measures won’t ...
    4 days ago
  • MBIE docs show country needs KiwiBuild, not Key’s pretend “building boom”
    John Key’s spin that New Zealand is in a building boom does not change the massive shortfall in building construction as new MBIE papers reveal, says Labour Party housing spokesperson Phil Twyford.  “We can fix the housing crisis, by the ...
    5 days ago
  • 1 in 7 Akl houses now going to big property speculators
    Speculators are running riot in the Auckland housing market making life tougher for first home buyers, says Labour’s housing spokesperson Phil Twyford.  Newly released data from Core Logic shows a 40 per cent increase in the share of house sales ...
    7 days ago
  • Labour mourns passing of Helen Kelly
    Helen Kelly was a passionate advocate for working New Zealanders and for a safe and decent working life, Leader of the Opposition Andrew Little says.  “Helen Kelly spent her adult life fighting for the right of every working person to ...
    1 week ago
  • Andrew Little: Speech to the Police Association Conference 2016
    Police Association delegates, Association life members and staff, representatives from overseas jurisdictions. Thank you for inviting me here today. The Police Association has become a strong and respected voice for Police officers and for policing in New Zealand. There is ...
    1 week ago
  • 1,000 more police for safer communities
    Labour will fund an extra 1,000 Police in its first term to tackle the rising rate of crime, says Leader of the Opposition Andrew Little. “Labour will put more cops on the beat to keep our communities safe. ...
    1 week ago
  • Call for all-party round table on homelessness
    Labour is calling on the Government to take part in a roundtable meeting to hammer out a cross-party agreement on ending homelessness.  Labour’s housing spokesperson Phil Twyford said the country wanted positive solutions to homelessness, and wanted the political parties ...
    1 week ago
  • Working people carrying the can for the Government
    Today’s announcement of a Government operating surplus is the result of the hard work of many Kiwi businesses and workers, who will be asking themselves if they are receiving their fair share of growth in the economy, Grant Robertson Labour ...
    1 week ago
  • Breast cancer drugs should be available
    Labour supports the Breast Cancer Aotearoa Coalition’s campaign for better access to cancer treatments as more patients are denied what is freely available in Australia, says Labour’s Health spokesperson Annette King.  “In the last three years, PHARMAC’s funding has been ...
    1 week ago
  • Community law centres get much needed support from banks
      New Zealand’s network of community law centres, who operate out of more than 140 locations across the country, have today received a much needed boost, says Labour’s Justice spokesperson Jacinda Ardern.  “After more than 8 years of static funding ...
    1 week ago
  • Just 18 affordable homes in Auckland SHAs – It’s time for KiwiBuild
    New data revealing just 18 affordable homes have been built and sold to first home buyers in Auckland’s Special Housing Areas show National’s flagship housing policy has failed and Labour’s comprehensive housing plan is needed, says Leader of the Opposition ...
    1 week ago
  • Pasifika wins big in Auckland elections
    The Labour Party’s Pacific Candidates who stood for local elections in Auckland came out on top with 14 winners, says Labour’s Pacific Island Affairs spokesperson Su’a William Sio. “Our candidates have won seats on one ward, four local boards, two ...
    1 week ago
  • Seven7 hikoi to stop sexual violence
    1 week ago
  • Road toll passes 2013 total
    The road toll for the year to date has already passed the total for the whole of 2013, raising serious questions about the Government’s underfunding of road safety, says Labour’s Transport spokesperson Sue Moroney.  “According to the Ministry of Transport, ...
    2 weeks ago
  • Bay principals slam charter school decision
    A letter from Hawke’s Bay principals to the Education Minister slams the lack of consultation over the establishment of a charter school in the region and seriously calls into question the decision making going on under Hekia Parata’s watch, says ...
    2 weeks ago
  • Government needs to act on voter turnout crisis
    With fewer than 40 per cent of eligible voters having their say in the 2016 local elections, the Government must get serious and come up with a plan to increase voter turnout, says Labour’s Local Government Spokesperson Meka Whaitiri. ...
    2 weeks ago
  • Inquiry presents solutions to homelessness – Govt must act
    Labour, the Green Party and the Māori Party are calling on the Government to immediately adopt the 20 recommendations set out in today's Ending Homelessness in New Zealand report. ...
    2 weeks ago
  • A good night for Labour’s local government candidates
    It has been a good night for Labour in the local government elections. In Wellington, Justin Lester became the first Labour mayor for 30 years, leading a council where three out of four Labour candidates were elected. Both of Labour’s ...
    2 weeks ago
  • More contenders for fight clubs
    Allegations of fight clubs spreading to other Serco-run prisons must be properly investigated says Labour’s Corrections spokesperson Kelvin Davis. ...
    2 weeks ago
  • Minister runs for cover on job losses
    Māori Development Minister Te Ururoa Flavell’s refusal to show leadership and provide assurances over the future of the Māori Land Court is disappointing, given he is spearheading contentious Maori land reforms which will impact on the functions of the Court, ...
    2 weeks ago
  • Kiwisaver contribution holiday not the break workers were looking for
    The number of working New Zealanders needing to stop Kiwisaver payments is another sign that many people are not seeing benefit from growth in the economy, says Grant Robertson Labour’s Finance spokesperson. "There has been an increase of 14 ...
    2 weeks ago
  • Fight Club failings
    The Corrections Minister must take full responsibility for the widespread management failings within Mt Eden prison, says Labour’s Corrections spokesperson Kelvin Davis. ...
    2 weeks ago
  • Rethink welcomed
    The Labour Party is pleased that Craig Foss is reconsidering the return of New Zealand soldiers buried in Malaysia, says Labour’s Foreign Affairs spokesperson David Shearer. “For the families of those who lie there, this will a welcome move. The ...
    2 weeks ago
  • Disappointment over UN vote
    Helen Clark showed her characteristic drive and determination in her campaign to be UN Secretary General, and most New Zealanders will be disappointed she hasn't been selected, says the Leader of the Opposition Andrew Little. "Helen Clark has been an ...
    2 weeks ago
  • Māori need answers on Land Court job losses
    Māori landowners, Māori employees and Treaty partners need answers after a Ministry of Justice consultation document has revealed dozens of roles will be disestablished at the Māori Land Court, says Ikaroa-Rāwhiti MP Meka Whaitiri. ...
    2 weeks ago
  • Key’s ‘efficiencies’ = DHBs’ pain
          John Key’s talk of ‘efficiencies’ ignores the fact the Government is chronically underfunding health to the tune of $1.7 billion, says Labour’s Acting Health spokesperson Dr David Clark.       ...
    2 weeks ago
  • More than 1,300 schools to face budget cuts
    The latest Ministry of Education figures reveal thousands of schools will face cuts to funding under National’s new operations grant funding model, says Labour's Education spokesperson Chris Hipkins. ...
    2 weeks ago
  • Speculation fever spreads around country
    House prices in Wellington, Hamilton and Tauranga are going off as a result of uncontrolled property speculation spilling over from the Auckland market, says Labour’s housing spokesperson Phil Twyford.  “Speculators who have been priced out of Auckland are now fanning ...
    2 weeks ago
  • New Zealand lags on aid targets
      The National Government needs to live up to its commitments and allocate 0.7 per cent of Gross National Income on development assistance, says Labour’s spokesperson on Pacific Climate Change Su’a William Sio.  “The second State of the Environment Report ...
    2 weeks ago
  • War on drugs needs more troops
    The Minister of Police must urgently address the number of officers investigating illegal drugs if she is serious about making a dent in the meth trade, says Labour’s Police spokesperson Stuart Nash.  “Answers from written questions from the Minister show ...
    3 weeks ago
  • Doctors strike symptom of health cuts
    The notice of strike action issued by the junior doctors today is the result of years of National’s cuts to the health system, says Labour’s Associate Health spokesperson Dr David Clark. ...
    3 weeks ago
  • Government starves RNZ into selling Auckland asset
    Just weeks after TVNZ opened its refurbished Auckland head office costing more than $60 million, RNZ (Radio New Zealand) has been forced to put its Auckland office on the market to keep itself afloat, says Labour’s Broadcasting spokesperson Clare Curran. ...
    3 weeks ago
  • Government must be more than a bystander on the economy
    Despite what he might think John Key is not a political commentator, but actually a leader in a Government who needs to take responsibility for the conditions that mean a rise in interest rates, says Labour’s Finance Spokesperson Grant Robertson.  “John ...
    3 weeks ago
  • Māori Party all hui no-doey on housing
    The Māori Party should stop tinkering and start fixing tragic Māori housing statistics in the face of a national housing crisis, says Labour’s Māori Development spokesman Kelvin Davis. ...
    3 weeks ago
  • Labour committed to eliminating child poverty
    Labour accepts the challenge from Children’s Commissioner Andrew Becroft to cut child poverty and calls on the Prime Minister to do the same, says Leader of the Opposition Andrew Little. ...
    3 weeks ago