Wealth tax
The Greens’ election policies include a non-negotiable plan to make Kiwis with a net-worth greater than $1 million, pay 1 per cent of their wealth to the Government as a tax.
Greens MP Julie Anne Genter told a small business panel discussion the tax policy was a “bottom line” condition that must be met for her party to join into a second Coalition government with Labour.
Julie Anne Genter defended the wealth tax, saying it would only affect the wealthiest 6 per cent of Kiwis.
There is a tiny percentage of New Zealanders that would be affected by this tax – they are the top 6 per cent wealthiest New Zealanders,” Genter said.
There are a number of serious issues around these statements:
First this is a tax on unrealised gains, which make it very difficult for people to pay who do not have the cash-flow to service this tax.
Are we going to try and tax our retired people into penury and out of their homes?
In the Auckland example where the average house prices are around $1 million dollars this tax will affect many more than the claimed top 6% of Kiwis. It will mean that anyone who has a freehold home worth more than $1 million dollars will be required to pay the government a minimum of $10,000 per year which is just below the total amount of National superannuation that is received.
So which retirees are going to be able to live on approximately $2,000 per year, pay their rates, insurance, fund annual repair bills on their home etc.?
There is a tiny percentage of New Zealanders that would be affected by this tax – they are the top 6 per cent wealthiest New Zealanders,” Genter said.
In actual fact this tax will affect many more than just the top 6% of Kiwis with the effects on those on fixed incomes such as retirees and beneficiaries being severe and in many cases un-supportable and creating extreme perverse results such as mortgagee sales, homelessness and huge rises in mental health issues from the stress of dealing with this type of decision.
This is just another example of the looney left showing their penchant for socialism and the politics of envy without any real thought or science behind their utterances.
Andy Loader
Co-Chairman P.L.U.G.