"Michael Cullen’s amendments to the Income Tax Act are but a minuscule step in the right direction", says Libertarianz
Finance Spokesman, Tim Sturm.
"The move to the use of standard accounting measures for the treatment of R expenses and the simplification of interest deductibility rules will, it is true, reduce the accounting and compliance
burden on firms," he says.
"However these are trifling moves in relation to the total burden on the economy through taxation," Sturm says. "The
amount of economic wealth wasted from the direct administrative burden of taxation, and from individuals being forced to
shift resources around to minimise the amount of tax extorted from them, is enormous."
"Libertarianz opposes government extortion through taxation and advocates that all payments to government should be
voluntary. The proper functions of government consistent with the right of individuals to freedom from the initiation of
force - defence, police and the legal system - amounts to just 7% of current government expenditure. Given that this is
commensurate with the amount New Zealanders voluntarily spend on insurance for similar reasons, I suggest," says Sturm,
"that this is eminently feasible."
Libertarianz submission on tax to the current wider Tax Review can be found at
http://www.taxreview2001.govt.nz/Submissions/Libertarianzparty.pdf
ENDS
For more information contact:
Tim Sturm LIBERTARIANZ FINANCE SPOKESMAN e-mail: sturm_tim@hotmail.com
Libertarianz Media Coordinator: (025) 861 927, organon@ihug.co.nz
www.libertarianz.org.nz