Another jump in GST expected

Published: Mon 21 Nov 2011 04:09 PM
MANA candidate for Te Tai Tonga Clinton Dearlove
Monday, 21 November 2011.
GST Will Rise to 17.5% under a Future Maori Party, Greens, and National Government.
MANA candidate for Te Tai Tonga Clinton “HURRICANE” Dearlove says it is highly likely a National led government with Maori party support will lift GST again.
Mr Dearlove says the Government is sitting on a report from the Savings Working group they set up which recommends increasing GST from 15 -17.5% and he expects this is exactly what they will do if reelected.
He says the Maori Party supported the last GST rise and there is no reason to think they wouldn’t do exactly the same again which makes nonsense of candidate Rahui Katene telling voters in Te Tai Tonga she will try and get GST taken off fresh fruit and veges.
“The Maori party tried that line last time at the table with National and prime minister John Key brushed them aside with a laugh. He would do the same again and they would have no alternative but to back the move.”
Mr Dearlove says the Hansard record of what is said in parliament shows that in May Rahui Katene justified the increase as the price of sitting at the table with National and ACT.
“She told parliament – ‘The confidence and supply agreement the Māori Party has with the Government requires us to vote in support of the tax changes that the Government proposes. We well know that without the supply of funds, the Government cannot function.’
Mr Dearlove says the Maori party must come clean and say whether or not they will again back a National government which will continue to beat up on the poor by such things as increasing GST.
“They have a responsibility to let voters know before Saturday whether or not they would support a National / ACT government and if they don’t their silence must be taken as confirmation that they would.
Mr Dearlove says lifting GST to 17.5% will be for the same reason it was lifted last time - to support tax cuts for the rich.
He says the last 20% hike in GST from 12.5 to 15% was to meet about half the cost of the $1.6 billion the National – Maori party government gave as tax cuts to the richest 10 percent of New Zealanders.
“The other half came from borrowing which led to the credit downgrade and higher interest rates.
Mr Dearlove says in contrast to the National – Maori party government which is for the rich MANA has a plan to help ordinary whanau.
“MANA has a fair tax policy, which includes getting rid of GST, this would put more money back into the pockets of the poor to the middle class, to help address the rising cost of living, investment back into people, and investment into the real economy to create real jobs.”
He is inviting Mrs Katene debate the tax system with him so the voters of Te Tai Tonga can decide who should be taxed - the poor, or the rich.

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