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Open mike 24/03/2021

Written By: - Date published: 6:00 am, March 24th, 2021 - 44 comments
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44 comments on “Open mike 24/03/2021 ”

  1. Jenny How to get there 1

    By not providing any evidence, for it, by not saying which side was favoured by it.
    The SIS are giving a dangerous dog whistle to the far right conspiracy theorists that the 2020 election was stolen.
    (Not that these nutters need much encouragement).

    https://www.msn.com/en-nz/news/national/revealed-nz-spy-agency-intercepted-multiple-threats-to-election/ar-BB1eSPka?ocid=msedgntp

    • Jenny how to get there 1.1

      The unspoken inference is that this foreign power is Russia, (or possibly China).
      The other unspoken inferences is that both Russia and China favour liberal leftist governments, (at least in the eyes of the far right conspiracy nutjobs).

      The SIS need to state clearly who they think was behind the alleged political interference in our elections they say they detected. And who these malign actors were favouring with this alleged interference.

      Anything less is dangerous ammunition to the far right, who have a history of extreme lone wolf actions against democratically elected officials fueled by unsubstantiated conspiracies.

      • KJT 1.1.1

        I think if "foreign influence" was favourable to left wing parties, the SIS would be gleefully leaking it to the public.

        More likely the foreign influence is favourable to National, who are 'friendly' to Chinese and US commercial interests.

      • Tiger Mountain 1.1.2

        A typical “pump & dump” attempt by the state security forces. They create suspicion of something but do not describe it in detail beyond fright headlines. So often their nasty little innuendos are under the legislative cover of protecting their snitches and technological reach.

        NZ National Party is the only Parliamentary party so far in recent years to be implicated in suspicious activity with Chinese “actors” via its candidate selection processes and brown paper bag, and split funding techniques. There was a Chinese spy in the Nat ranks from 2011-2020, one Jian Yang a PLA spy trainer according to various sources including the NZSIS!

      • Anne 1.1.3

        From the link:

        NZSIS Director-General Rebecca Kitteridge told Parliament's Justice Select Committee "there are credible reports of interference campaigns in the elections of other countries, and these attempts are increasing in their sophistication".

        Imo in a democracy such as ours, a security agency would be failing in its duty if they did not investigate any potential interference in its governance and election processes.

        The SIS need to state clearly who they think was behind the alleged political interference in our elections they say they detected. And who these malign actors were favouring with this alleged interference.

        To spill the beans about the details of a potential threat could alert the perpetrators that the agency is on to them. Not always a good thing and could place the lives of some people in considerable danger.

        • Tiger Mountain 1.1.3.1

          The point perhaps is, must the security agencies go public if they are not going to convey anything meaningful apart from expertise at shadow boxing, or an unspecified underlying political campaign.

    • Adrian Thornton 1.2

      I know this US leaning, however speaks to the same systemic problems in our own media…often just spouting US,UK Govt talking points without even the hint of a critical eye having once glanced over it.

      Russiagate Rolls On, Giving Biden Political Cover

      "When it comes to national security reporting corporate journalists have time and again shown they are practicing something other than journalism"

      https://consortiumnews.com/2021/03/20/russiagate-rolls-on-giving-biden-political-cover/

  2. Treetop 2

    Is there going to be a way which landlords can offset losing the tax deduction on interest such as new tax rates which could be announced in the budget?

    It is bad for renters and it will get worse unless more money is pumped into the accommodation supplement (AS) or a new system other than the AS.

    • Jimmy 2.1

      What worries me is, I think this will happen with the rental property:

      eg. Mortgage $400k @2.5% interest only =$10k interest a year tax deductible currently. Assuming tax rate of 33%, that's a tax saving of $3,300. Next tax year, first six months is 100% deductible still, second six months only 75% deductible. Therefore tax deductible interest is reduced to $8,750, a tax saving of $2,888. So landlord incurs an extra $412 in first tear spread over 52 weeks = rent increase of $8 a week to cover. Of course there is a further increase each year until the tax year ending March 2025 when no interest can be deducted. So by then the landlord is $3,300 worse off and rent would have increased over the 5 years by $63 (in addition to other normal increases).

      • Bearded Git 2.1.1

        The income made by landlords is not simply a function of them making a good profit on rent received on top of massive tax free income in the form of capital gain.

        Landlords are (as Robertson says) subject to the rules of supply and demand. They are price takers if there are plenty of rental properties available-take a look at Queenstown and Wanaka at the moment.

        • McFlock 2.1.1.1

          Cycle is more up than down, though.

          There was a stage in dunedin student flatting I think in the late 1990s when landlords would do stuff like install a spa pool, or have a trailer of beer as a signing bonus.

          Good luck with that these days lol.

          But the basic point is that most landlords (#notAllLandlords) extract as much money as they can get away with. That's capitalism. And for most of history, the scales are heavily weighted towards the landowner, not the serf.

    • UncleBob 2.2

      Something I haven't seen discussed as yet, is how will the banks react? In my view there is now a possibility of interest rates dropping even further. As banks seek to protect their client base and grow their lending portfolio. We could see sub 2% this year. I don't think the world's present economic state is going to legitimately cause interest rates to rise. So there is still scope for significant reductions.

      • Sabine 2.2.1

        But sadly that will not trickle down to renters. And even lower interest rates, or longer lasting low interest rates will again only benefit the investor class.

        The ones that are being hurt are those that bought recently at huge costs. All other that bought and build their portfolio over the last three to four decades still laugh all the way to the bank.

        • UncleBob 2.2.1.1

          What I'm thinking is lower rates would provide padding to the accommodation provider. And less necessity to increase rents. So it could help out tenants is a less direct way.

          • Sabine 2.2.1.1.1

            if our landlords were sane that would work, but they will use the 'tax' as an excuse to increase rents. And by more then the above estimate.

  3. Adrian 3

    I’m pissed off I can’t get a tax deduction for my interest costs for buying $1million dollars to buy Lotto tickets. Bloody Labour Government.

    • alwyn 3.1

      That's all right sweetie.

      You don't have to pay taxes on your winnings either. Why are we one of the few countries in the world that doesn't tax such winnings?

      • KJT 3.1.1

        Because Lotto profits go to Charity.

        Charitable donations are generally not taxed.

        And the community does not have to pay millions in housing subsidies and motels, to enable lotto, “winnings” to continue.

      • Adrian 3.1.2

        We do actually Alwyn, but it is deducted at source, I think Lotto pays tax on turnover before payout but I dont know how much.. A nice little earner which i am all in favour of.

        I was making a snarky comment about how speculators view house ownership as a game of Lotto where you can't lose.

        • KJT 3.1.2.1

          Didn't know that. "Imputation credits".

        • alwyn 3.1.2.2

          It wasn't the organisation I was talking about. It was the actual winner. If, as someone did last Saturday, you win $5.2 million you get to keep the lot. In the US you have to declare the money as taxable income and they tax it. If you won the headline amount of say $750 million and take the money immediately, which is a much lesser amount, and then pay State and Federal taxes you may end up with only about a third of the headline figure. It is the same in some of the European countries.

          t was only a trivial aside though

  4. Muttonbird 4

    Scum-o, Prime Minister of the morally corrupt nation of Australia, threatens journalists in a live press conference by using a made up story about sexual harassment in their organisation.

    Get's caught.

    Blames emotion.

    This just days after threatening 10,000 women outside parliament with armed response.

    https://twitter.com/ABCmediawatch/status/1374139066757701632

    Why is Australia still happy with this bloke?

  5. Herodotus 5

    why could not our PM and min of Finance just be honest and say that they broke a promise thru necessity instead of being caught covering up and lying 🤥 all to help sort out a problem that was caused by a monetary policy pushed by the govt with the consequences well singled at the time.

    The change to the top income tax rate, and a possible digital services tax on multi-nationals,
    will be the only new taxes Labour will introduce during the next term of Parliament. ”

    https://www.labour.org.nz/release-revenue-policy
    https://d3n8a8pro7vhmx.cloudfront.net/nzlabour/pages/18626/attachments/original/1599602317/Revenue_Factsheet.pdf?1599602317

    • Muttonbird 5.1

      What new taxes have they introduced?

      • Sabine 5.1.1

        that silly wealth tax for those earning over a 180.000 the 39% bracket. never mind though, a good accountant will take care of that.

        https://www.rnz.co.nz/news/political/425595/labour-pledges-to-raise-tax-on-earnings-over-180k

        The party has released its tax policy and the new top rate of 39 percent on earnings over $180,000 is the sole change.

        Tax rates for companies and trusts would not change.

        The policy is forecast to generate $550 million of revenue a year.

        Labour finance spokesperson Grant Robertson said the policy is about maintaining investment in crucial services, while keeping tax rates exactly the same as they are now for 98 percent of people.

        "Our plan strikes a balance as we recover from Covid-19. It will avoid the cuts to services being suggested by the National Party, and also help keep a lid on debt as we support the economic recovery from a 1-in-100 year shock.

        It will generate 550! million. Take that and rejoice!

        • Muttonbird 5.1.1.1

          According to Herodotus' comment, that and the digital services tax were announced. I was wondering what other new taxes they have introduced.

          • Sabine 5.1.1.1.1

            Well Grant announced to day that he would announce the budget May 20th.

            So we will all wait and see how tiny that announcement will be after yesterdays tiny announcement re housing, and the tiny announcement of the travel bubble.

            • Jimmy 5.1.1.1.1.1

              At least that is an actual date the budget will be released. Ardern's is just a further announcement on 6th of April (that may or may not have the date the travel bubble will commence).

      • Herodotus 5.1.2

        From Labours links they consider what they did to PAYE as a new tax, so applying their logic any new thread holds or increase in revenue is a new tax excluding increases due to indexing. That was specified by their published policy. So increasing the bright line length is a new tax. Even grant stated that last year which was not to be increased. This announcement may help as it gives a plan and stability as to what was

  6. Jimmy 6

    Good to hear Nash and Mitchell agree this morning that the police are not racist

    • Sabine 6.1

      i got stopped with my partner one night on the way home by a nice white cop in his mid 40s. We pulled a trailer.

      After looking at us he decided that we looked 'legit' with the trailer – i.e. we struck him as the owners of that trailer – and we were let go.

      That was on the road to Whakatane from Rotorua. Racist? I let you decided that.

    • mac1 6.2

      They should be more than non-racist. They should be anti-racist. They could read Ibram X. Kendi, "How to be an Antiracist". Being non-racist is not enough.

      • Gabby 6.2.1

        They should be pro-non-anti-unracist. Being antiracist is not enough.

        • mac1 6.2.1.1

          And taking the piss is not enough. It should be watering our plants, especially lemon trees at the bottom of the garden. I think I've just had a 'urea moment'.

  7. Obtrectator 7

    Landlords trousering the $50 student allowance via rent-rises was bad enough. Now it seems at least one gas company may have been eyeing up the winter energy supplement, according to a letter in today's Dom Post (sorry, don't know how to link to it, if one can do so at all – will put up the text if asked, but the mods here usually discourage that).

    • Sabine 7.1

      Got a letter yesterday that my electricity prices will increase and i don't get any aid from the government.

      So maybe it is just businesses making money of the fact that people like to live in reasonably warm houses, like to have warm water, a light when its dark and a functioning fridge/washmachine.

      • Jimmy 7.1.1

        Mercury Energy sent me a letter saying my prices were going up in April and I also (like the majority of the population) don't get any aid from government. So I decided it was time to shop around. I am now with Contact Energy paying less than before my Mercury price increase.

  8. Anker 8

    Switch to electric Kiwi. They give an hour of free power everyday and our bills are much cheaper.

    Power companies are one area where its easy to walk if they raise their prices.

  9. Jimmy 9

    Great news for tenants. If landlords hike rents to cover the new non deductibility of interest extra cost, according to Grant Robertson, tenants can simply look elsewhere.

    This comment really does show Robertson is out of his depth. Obviously there are plenty of other properties available to rent especially in Wellington and Auckland. Good luck renters.

    https://www.newshub.co.nz/home/politics/2021/03/housing-crisis-tenants-can-look-elsewhere-if-landlords-hike-rents-robertson.html

    • Obtrectator 9.1

      He's right about being able to look. But that's about all they'll be able to do. "Seek and ye shall find" does not apply to affordable or even slightly-less-than-ruinous rentals.

    • Treetop 9.2

      Has anyone looked at the average cost of moving into a rental?

      Robertson needs to get it that it would be approx 2 1/2 – 3k for a basic rental (4 weeks bond, 2 weeks rent, trailer hire).

  10. greywarshark 10

    Environment – Water in India is polluted badly and there is a call for citizens to initiate plans and work and then call on government to be helping.

    https://www.aljazeera.com/program/witness/2021/3/22/catching-the-rain-in-india-dead-lakes-alive 25 mins

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