ACT's David Seymour - i like his style.

[SBQ]

SBQ don't know if you noticed but the "tax refund" companies have all but disappeared. Not even sure what your point is regarding PAYE. The tax system largely relies on honesty and maybe fear of the IRD and their powers and penalties. Wage workers largely don't need to worry about tax returns anymore it is all done for them through the employer deductions and IRD being able to calculate the tax based on the information provided. Most investment income is also taxed at source and the information and taxes forwarded to IRD.

Regarding going to Aussie "more resources to fund more social programs like mental disabilities (autism in education), health care, and above all, they're not concern about some aboriginal cultural narrative like we have going on in NZ. "

That seems to refute your earlier statement "that I can't think of a greater incentive for an individual to want to earn more $$$, be more productive, than by telling them they can keep more of their after tax income?" NZ has much lower taxes and according to you Australia has stronger public institutions (public institutions are usually funded by taxes).

Possibly you are arguing that Australia is growing the pie rather than discussing how the pie is divided. Although Aussie might have a larger pie and more of that pie goes into public institutions through taxation, so it further appears you are weakening your initial statement about taxes.

"Our gov't is weak in NZ, if they wanted to tilt the tables of fairness, they need to tax the rich in wealthy by imposing a CGT on their real estate holdings. Australia and Canada and America does this... why does NZ not do this?"

Finally something I agree with. The answer to your question might not be simple but as I am not an intellectual I would suggest a large reason this does not happen is that a large cohort of a certain voting generation that shall not be named is more concerned about setting themselves up for a comfortable retirement than the future of NZ.

Sounds like Chris Hipkins popularity is declining due to his "captains call" on capital gains tax. Good job he gets what he deserves for being weak. Although in his defence it worked for John Key and Jacinda Ardern and they were both very popular. Maybe NZ is starting to tire of weak leaders pandering to the shi*iest voters.

Can you explain why other countries that use a PAYE system, require individuals to file a tax return and why they're more complicated when there's an exemption income threshold / tax credits / free grants etc? I gave a clear example that PAYE does not include all sources of income and the tax dept wants to know ALL sources of income. Another example I will give is 'overseas' or foreign income. As we live in a more globalised world, the issue of PAYE becomes less relevant as more and more individuals can work abroad with overseas income. But this is just only 1 example that proves PAYE does not include all sources of income.

As for the taxation in Australia and my pro-belief of keeping as much after tax income for the individual high income earners. I'll repeat again, not all gov'ts are the same. Australia clearly has their act together in terms of extracting higher productivity for their country. Again look online of all the stats, NZ over the past 20 years has been left behind ; there's no refuting this problem. So to the tax payer living in NZ, why should they be living on the losing side? They pay just as much taxes as their neighbour Australia, but receive less benefits from the gov't? Oh did I forget to mention how much MORE the skilled migrants moving to Australia are getting paid? Preschool teachers, nurses, doctors, and recently... police officers all see a 30% increase in pay if they move to Australia. One doesn't have to consider that the tax rates are going to be different between NZ & Australia ; just by that metric alone 30% tells anyone that the extra pay is significant and a wallop improvement in their standard of living.

Again, what I don't like about NZ is we have nothing to offer to the next generation. Our tax system appeases only to the rich and wealthy as their next of kin easily accumulate wealth through owning multiple houses. How does the NZ model fit for those that start with nothing? Those that attend public schools while the rich elite population of NZ, strictly go to ritzy private schools? I see this kind of BS everyday living in NZ where on all levels of gov'ts and high paying jobs, they're dished out only to the elites. The UN has proved that countries with more equitable taxation and 'social mobility' (you will have to look that term up) yield HIGHER productivity. This is why I see NZ has fallen backwards in the past 20 years because our priorities are focused on the 'old boys club' mentality. The more of the skilled and productive that leave NZ, then what leaves behind is the lessor skilled or replacing migrants who can't get into Australia or Canada, end up in NZ (as left overs). This is not how you grow a country.

[Aaron]

Dear SBQ

Agree to disagree.

[Daytr]

Dear SBQ

Going back to your first bulls*it statement.

A tax free threshold is more difficult than you think. The simplicity of NZ's income tax system would be complicated exponentially because it requires mandatory filing of tax returns every year. There requires a declaration by the individual to the tax debt how much they earned in income taxes from ALL sources. Right now there is no law in NZ to require an individual that works on hourly wages, to submit a tax return every year. It's simply taxed at the source PAYE. But a tax free threshold is to come, then IRD will need a verification process of all income sources which is complicated, and requires a lot more staff to administer.

Tax returns are filed by everyone every year and everyone is required to declare income from all sources taxed at source or untaxed. The system relies on honesty.

Having 0% or 10.5% as your bottom tax rate makes absolutely no difference to processing tax returns every year.

You are wrong or perhaps just ignorant.

If you are just telling lies to back your view it would be good if you stopped. I appreciate people in general seem to have become more tolerant of lying but I am not one of them.

If you are making these silly incorrect statements out of ignorance then I would suggest you should do some research before posting.

Aaron, you might want to be more considered before calling out people as wrong or ignorant etc.

As SBQ said if you are on a paye salary & you have no other income to declare that is not already taxed at source, you don't have to submit a tax return.

[Aaron]

Aaron, you might want to be more considered before calling out people as wrong or ignorant etc.

As SBQ said if you are on a paye salary & you have no other income to declare that is not already taxed at source, you don't have to submit a tax return.

You don't have to submit a return but there is still an assessment done even if there is no tax to pay.

You are right though no need to be so nasty. I will delete my post.

Having a 0% lower tax rate does not make the tax system that much more complicated as SBQ suggests. No worse than changing it to two rates of 17.5% and 28%.

Having deleted my post I realise you may have immortalized it in your post.

I stand by my argument though but there is no need for nastiness.

[Daytr]

You don't have to submit a return but there is still an assessment done even if there is no tax to pay.

You are right though no need to be so nasty. I will delete my post.

Having a 0% lower tax rate does not make the tax system that much more complicated as SBQ suggests. No worse than changing it to two rates of 17.5% and 28%.

Having deleted my post I realise you may have immortalized it in your post.

I stand by my argument though but there is no need for nastiness.

Well played.

[fungus pudding]

To get back on track with the thread ........

Glimmer of Hope.jpg

[Entrep]

One reason out of the millions to vote for a change in Govt this year: https://www.interest.co.nz/public-po...m-nats-act-vow

[nztx]

One reason out of the millions to vote for a change in Govt this year: https://www.interest.co.nz/public-po...m-nats-act-vow

One of the larger of many .. the dartboard is littered with a wide array of reasons for change & very little
supporting no change ..

[Logen Ninefingers]

This will be music to the ears of many….

https://i.stuff.co.nz/national/polit...ief-executives

‘The ACT Party, in its bid to slash the public service, is promising to set “performance benchmarks” for the likes of education and health, as well as issuing public sector chiefs “KPIs” and return them to salaries with performance pay.

ACT leader David Seymour announced the party’s public service policy at Samuel Marsden Collegiate School in Karori, Wellington, on Sunday afternoon. The party has already promised to slash government spending by $1 billion on “day one”, if a National-ACT coalition government is elected in October.

“Government departments are no longer going to be able to get away with spending billions of dollars while failing to deliver meaningful outcomes for taxpayers,” Seymour said, in a statement about the announcement.’

[Bjauck]

A low tax economy is beneficial generally only if the wealthy invest their higher net incomes and funds into productive investments (and research). You can also have a low tax system yet the tax still falls unfairly and inefficiently.

That.is where NZ has got it wrong as so much of our investable funds end up in residential land and real estate. The result is our small share market with many of our good companies and young people ending up needing to go overseas. The major parties have no appetite for major reform so long as immigration can help prop everything up.