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NZCPR CAMPAIGNS
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Frank Newman

Over the last few weeks various economists and tax experts have been trying to predict the economic effects of Labour’s capital gains tax (CGT) proposal. What the experts do agree on is the best tax is one that is simple, has a broad base and few exemptions and incentives.

Calls for a capital gains tax are gaining momentum, but unfortunately the capital gains debate thus far has been tainted with misinformation and a lack of clarity as to what a capital gains tax would hope to achieve.

I guess I am in the unique position of having had two terms on council, one before the introduction of the Local Government Act 2002 (between 1995-98) and one after. After a six year break I went back onto the Whangarei District Council with fresh eyes and an expectation that nothing much had changed. Well that was not the case at all. The changes have been dramatic. I was shocked to see how far our local council - and I suspect all local authorities in New Zealand - had moved in only six years. The shift is seismic.