Danyl over at DimPost has produced an excellent graph of the gains from National’s Tax Swindle.
This is using the Government’s own figures as dutifully re-printed by the media – so no adjustment for the massive inflation caused by the budget that means that roughly half of households will be worse off at the end of the year than at the start of it (according to NZ Institute of Economic Research).
The graph still doesn’t look good.
Danyl’s nicely pointed out where average wages and salaries are on the graph (not median, which are lower, and could have made the graph look worse…).
bradluen in the comments has calculated the relative gain in income, for those who reflexively add that “of course the rich do better in absolute numbers, they earn more, they get more…”
Net gain as a percentage of income:
If you earn $10K/year: 0.23%
If you earn $100K/year: 2.17%
And by the time you take out increased costs of mortgages from raised interest rates, higher rents from landlords passing on their tax avoidance being closed and extra childcare costs… well, we can all see where the government’s borrowed money for their tax change is going – and it ain’t to average kiwis.
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