As promised here is an analysis of National’s tax policy. As I stated earlier, tax is usually a big issue for voters so therefore I felt that it deserved a post separate to the Economic Policy.
I decided to split up the National and Labour analysis so that it was easier to read, I hope that it didn’t cause any confusion. Without further delay here is National’s tax policy analysis:
Tax Policies Overview:
The National Party Finance Policy in which Tax falls under is summed up on their website as being about returning the Government’s books to surplus by 2014/2015. National’s tax policy is nothing new and has largely been introduced in the 2010 and 2011 budgets. It includes: The biggest tax reforms in 25 years, which reduced tax on savings but increased GST, and increasing minimum KiwiSaver contributions from 2013.
The National Party claims that this tax system rewards hard work and savings and will help us balance our books, but Labour criticises it on its website as being ‘unfair’.
They state that National’s tax policy has helped the cost of living go up at its fastest rate in twenty one years due to the increase in GST and has only failed to tax the rich through the lack of a capital gains tax which they are proposing.
- National introduced the biggest tax reforms for 25 years
- They are calling for further tax reductions on savings
- They’re increasing the minimum KiwiSaver contributions for employees and employers in 2013, and establishing KiwiSaver auto-enrolment in 2014 subject to returning to surpluses.
How National has collected and spent tax collections: