sharetrader

View Poll Results: Should there be a Capital Gains Tax on Property

Voters
103. You may not vote on this poll
  • No

    202 100.00%
  • Yes

    60 58.25%
  • Goff is just an idiot

    2,147,483,655 100.00%
  • Epic fail for Labour

    1,930 100.00%
Multiple Choice Poll.
Page 23 of 38 FirstFirst ... 1319202122232425262733 ... LastLast
Results 331 to 345 of 556
  1. #331
    Senior Member
    Join Date
    Jun 2014
    Location
    Mid of Middle_earth
    Posts
    736

    Default

    All those that believe in this gov't should be cautioning their Labour MP's about introducing this CGT with caution as it would surely lose them the next election.
    And to the idea that narrowing the gap between the rich and the poor with another tax is just not proper. There's no guarantee that CGT will even attain that aim.

  2. #332
    Dilettante
    Join Date
    Mar 2010
    Location
    Nelson
    Posts
    2,771

    Default

    Quote Originally Posted by RGR367 View Post
    All those that believe in this gov't should be cautioning their Labour MP's about introducing this CGT with caution as it would surely lose them the next election.
    And to the idea that narrowing the gap between the rich and the poor with another tax is just not proper. There's no guarantee that CGT will even attain that aim.
    I don't think there is any chance of this legislation going through Parliament in 2020 as wished for by Labour and the Greens. NZF and National will vote against it. The concern is that this may well mean Labour will not have it as a policy in the next election campaign but introduce it anyway should they be able to form a Government with the Greens after NZF disappears.

  3. #333
    Senior Member
    Join Date
    Mar 2001
    Location
    Auckland, , New Zealand.
    Posts
    1,151

    Default

    it will not get passed as is, I would almost guarantee that, also if not y
    ou ,maybe right on your second point iceman

  4. #334
    Guru
    Join Date
    Apr 2008
    Location
    Sth Island. New Zealand.
    Posts
    4,420

    Default

    Quote Originally Posted by iceman View Post
    I don't think there is any chance of this legislation going through Parliament in 2020 as wished for by Labour and the Greens. NZF and National will vote against it. The concern is that this may well mean Labour will not have it as a policy in the next election campaign but introduce it anyway should they be able to form a Government with the Greens after NZF disappears.
    And if NZ first somehow miraculously manages to get back in there'd be nothing to stop the unpredictable Winston from going into coalition with National to block it. Of course that depends on two things: how the numbers fall and Winston still being alive.

  5. #335
    Legend
    Join Date
    Jun 2009
    Location
    CNI area NZ
    Posts
    6,135

    Default

    Quote Originally Posted by RGR367 View Post
    All those that believe in this gov't should be cautioning their Labour MP's about introducing this CGT with caution as it would surely lose them the next election.
    And to the idea that narrowing the gap between the rich and the poor with another tax is just not proper. There's no guarantee that CGT will even attain that aim.
    I would bend the ear of my local Labour MP about the marginal tax rate being suggested across the board. Capital gains appear on average over a few years or decades, and some of that gain is only inflation, so it's not real. If you earn pay in a given week and pay the PAYE tax on it, there's no inflation affecting that transaction. It might mean more maths, but to be fair inflation has to be taken into account for longer term asset holdings somehow.

    But there are no excuses for other good reasons to impose a CGT in some form. Most other countries have it already, and not having a CGT means that many of our landholders are probably lazy with their assets, they're not as productive as they could be. Sometimes that's a deliberate attempt to avoid extra annual taxation on income, knowing there's a big tax-free payoff down the track. i could summarise that further but I think you'd get the drift.

    You also have some spectacular business success stores like TradeMe, where the Morgans and others sold out once their trading profits would have required some whopping income tax payments, and paid no tax on the capital gain they'd achieved in a few short years. In that case, a rate close to the marginal tax rate would have been suitable to impose.

  6. #336
    The past is practise. Vaygor1's Avatar
    Join Date
    Dec 2012
    Location
    Northland
    Posts
    853

    Default

    Quote Originally Posted by fungus pudding View Post
    And if NZ first somehow miraculously manages to get back in there'd be nothing to stop the unpredictable Winston from going into coalition with National to block it. Of course that depends on two things: how the numbers fall and Winston still being alive.
    There's nothing stopping Winston from going into coalition with National right now.... except for the fact that currently Simon Bridges would become PM. That being the case, I'd stay put with Labour/Green too.

  7. #337
    Guru
    Join Date
    Feb 2005
    Location
    Auckland, , New Zealand.
    Posts
    2,511

    Default

    Australia taxes capital gains at marginal tax rates. After holding for longer than 12 months the capital gain is reduced by 50%. This would cover inflation and any other variables in valuations that may otherwise create problems.

  8. #338
    Member
    Join Date
    Nov 2018
    Location
    Christchurch
    Posts
    71

    Default

    Quote Originally Posted by 777 View Post
    Australia taxes capital gains at marginal tax rates. After holding for longer than 12 months the capital gain is reduced by 50%. This would cover inflation and any other variables in valuations that may otherwise create problems.
    I've learned something new and it seems Australia copied the Canadian CGT model of allowing 50% of the gain only taxable. Previously Australia use to 'index rated' the gain with inflation. I suppose it was too much checking with tables and seemed more simple to apply a 50% cut factor.

    All in all, if Canada and Australia have a decent working CGT model, then why would such models be considered "complicated" for NZ? I mean are NZ accountants unable to manage? Is the Australian person more capable of understanding CGT than the Kiwi? I'm sick of hearing excuses that CGT with concessions or exemptions would be too complex for NZ

  9. #339
    The past is practise. Vaygor1's Avatar
    Join Date
    Dec 2012
    Location
    Northland
    Posts
    853

    Default

    Quote Originally Posted by SBQ View Post
    .... I'm sick of hearing excuses that CGT with concessions or exemptions would be too complex for NZ
    I'm with you SBQ.

    They pulled the same stunt with GST.

    Aussie's GST model far superior to NZ's and everyone over there copes easily with the GST exemptions that, by rights, New Zealand and New Zealanders should also have.

  10. #340
    percy
    Join Date
    Oct 2009
    Location
    christchurch
    Posts
    12,429

    Default

    Quote Originally Posted by SBQ View Post
    I've learned something new and it seems Australia copied the Canadian CGT model of allowing 50% of the gain only taxable. Previously Australia use to 'index rated' the gain with inflation. I suppose it was too much checking with tables and seemed more simple to apply a 50% cut factor.

    All in all, if Canada and Australia have a decent working CGT model, then why would such models be considered "complicated" for NZ? I mean are NZ accountants unable to manage? Is the Australian person more capable of understanding CGT than the Kiwi? I'm sick of hearing excuses that CGT with concessions or exemptions would be too complex for NZ
    My brother has lived in Australia for over 40 years.
    He tells me working out his tax and CGT is a nightmare.

  11. #341
    Advanced Member
    Join Date
    Aug 2012
    Posts
    1,721

    Default

    Quote Originally Posted by SBQ View Post
    I've learned something new and it seems Australia copied the Canadian CGT model of allowing 50% of the gain only taxable. Previously Australia use to 'index rated' the gain with inflation. I suppose it was too much checking with tables and seemed more simple to apply a 50% cut factor.

    All in all, if Canada and Australia have a decent working CGT model, then why would such models be considered "complicated" for NZ? I mean are NZ accountants unable to manage? Is the Australian person more capable of understanding CGT than the Kiwi? I'm sick of hearing excuses that CGT with concessions or exemptions would be too complex for NZ
    Tax systems and rules differ in each country. So it does not necessarily follow that the Australian CGT scheme should be implanted into NZ.

    For example Australian pension account balances are taxed at a concessionary 15% rate for both income and capital gains. (NZ KiwiSaver balances are taxed at the taxpayer’s full PIE rate which could be 28%). So for NZ to exempt the family home from a CGT without offering reduced taxation rates on KiwiSaver balances, could well see a greater move into over-investing in the family home as a de facto pension scheme - more so than in Australia.

    Australia and the UK have stamp duty regimes on house transfers. NZ does not. I think In Australia the stamp duty for a $900,000 home for an owner-occupier is $36,000. So if we follow Australia in exempting the family home from a CGT, perhaps we would need also to introduce their type of stamp duty scheme on home sales.
    Last edited by Bjauck; 24-02-2019 at 01:25 PM.

  12. #342
    Advanced Member
    Join Date
    Aug 2012
    Posts
    1,721

    Default

    Quote Originally Posted by percy View Post
    My brother has lived in Australia for over 40 years.
    He tells me working out his tax and CGT is a nightmare.
    Yeah it could be complex and would increase compliance work and costs. It needs to be a K.I.S.S. scheme unless the government wants taxpayers to boost accountants’ Income.

  13. #343
    Legend minimoke's Avatar
    Join Date
    Mar 2005
    Location
    Christchurch, New Zealand.
    Posts
    5,934

    Default

    Quote Originally Posted by Bjauck View Post
    Tax systems and rules differ in each country. So it does not necessarily follow that the Australian CGT scheme should be implanted into NZ.

    .
    Government did it with safety laws after Pike River

  14. #344
    Advanced Member
    Join Date
    Aug 2012
    Posts
    1,721

    Default

    Quote Originally Posted by minimoke View Post
    Government did it with safety laws after Pike River
    Do you think we should introduce the Australian tax system to replace the NZ tax system?

    There are ways in which the NZ tax system already taxes as income some capital gains and indeed wealth.

    So to introduce just the Australian capital gains tax regime would be blunt and without significant review of existing tax provisions, it would involve double taxation.

    Compared to Oz, implanting the OzCGT scheme into NZ would also make trading up the housing home ownership ladder with owner-occupied home ownership significantly more tax efficient to other investments taking into account the absence of stamp duties on NZ house transfers and lack of concessionary tax rates on the income from KiwiSaver pension balances in NZ.
    Last edited by Bjauck; 24-02-2019 at 01:46 PM.

  15. #345
    Guru
    Join Date
    Apr 2008
    Location
    Sth Island. New Zealand.
    Posts
    4,420

    Default

    Quote Originally Posted by Vaygor1 View Post
    I'm with you SBQ.

    They pulled the same stunt with GST.

    Aussie's GST model far superior to NZ's and everyone over there copes easily with the GST exemptions that, by rights, New Zealand and New Zealanders should also have.
    Don't overlook the downside of CGT in Australia - particularly its effect on industrial properties.

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •