Tax changes unfair, unhelpful
The tax changes that take effect on 1 October are unfair. Their justification lies in economic arguments about encouraging growth, savings and investment. The evidence for them helping the economy is weak, with one or two exceptions. Minister of Finance Bill English has described them as "the most significant tax reform package in New Zealand for nearly 25 years". That takes us back to the 1984-1990 Labour government which flattened the income tax structure, introduced GST, and reduced company tax (sound familiar?), with remarkably little to show for it in terms of economic success and too much to show in terms of increased and damaging inequalities. That is hardly a good advertisement for these changes.