A capital gains tax should not be racist, says the New Zealand Taxpayers’ Union, which is calling out suggestions that iwi may receive special exemptions from the proposed new tax.
Taxpayers’ Union Executive Director Jordan Williams says, “When Maori groups receive tax exemptions and special breaks, other businesses
find it harder to compete.”
“Sir Michael Cullen’s view that existing Iwi tax-exemptions should also apply to capital gains tax will be disturbing to businesses already struggling to compete with iwi-owned companies like Shotover Jet – which pays
no tax – or Maori Authorities which pay 17.5% tax rather than the 28% company rate. This path towards a race-based tax
system is dangerous."
“In a free-market, everyone should play by the same rules. Extending tax-breaks on the basis of their race is unfair.
The Government should promise that if they pass a capital gains tax, everyone will pay the same rate – regardless of
race.”