Labour’s capital gains tax plan has been leaked before they got a chance to announce it themselves – and it’s bad news for our economy.
Just as New Zealand’s economy is getting back on its feet, Labour has cooked up a plan to introduce a new capital gains tax that will hit businesses and Kiwis’ savings.
Labour’s tax grab would put New Zealand's economic recovery at risk. It's a tax on savings, investment and growth - the complete opposite of what our economy needs right now.
Labour’s capital gains tax would load more costs on businesses, investors and savers, and act as a handbrake on our economy.
Every business needs somewhere to work from, and many businesses depend on some form of commercial property - be it the shop building they own or the premise they work from. By levelling a new tax on land and buildings, Labour has effectively committed to a tax on businesses small and large - from the corner dairy to the local factory.
This is nothing but a tax on the savings and investment our economy desperately needs.
Many Kiwis’ retirements savings are tied to their small business, rental property or KiwiSaver investments in New Zealand businesses. Taxes on all those things would go up under Labour.
Kiwis need confidence to invest, hire and plan for the future. This policy would do the opposite. It's a recipe for fewer jobs, lower incomes and less savings.
Labour destroyed New Zealand’s economy the last time they were in government, and they will do it again if given the chance.
National will not introduce a capital gains tax. We are working hard to rebuild New Zealand’s economy with less red tape for businesses and more investment.
It is only through a strong economy that we can lift incomes, create jobs, and invest more in the public services like schools, hospitals and police that Kiwis deserve.
Hon Nicola Willis
Spokesperson for Finance
