Labour / NZ First Government

[artemis]

What bothers me is that since the border processes were tightened up we have had new cases every day. Yet while border processes had holes there were no cases at all for weeks. Something wrong with this picture.

[Baa_Baa]

What bothers me is that since the border processes were tightened up we have had new cases every day. Yet while border processes had holes there were no cases at all for weeks. Something wrong with this picture.

The new cases are being imported from other countries and it will continue, and probably accelerate as more Kiwi's who are entitled to return to NZ do so. IMO you needn't be concerned unless those imports refuse to be tested and are released into the community. Uh oh.

[ynot]

What bothers me is that since the border processes were tightened up we have had new cases every day. Yet while border processes had holes there were no cases at all for weeks. Something wrong with this picture.

Daily border arrival numbers up.

[fungus pudding]

$1 million may only be a round of drinks to you and I Fungus Pudding, but to most Kiwis its a serious chunk of change. I'll gladly pay my share of the wealth tax if it is spent wisely. My main concern is the younger generation. Merit based social mobility used to be a strength in our economy, I know longer think that is the case.

That 'you and I' should be 'you and me' in the first sentence. In the second sentence, its should be it's, and in the last sentence 'know' should be no. Sorry to be pedantic but to ease your burden from all that wealth, you could always spend a chunk on English lessons.

[Arthur]

Quite correct Fungus Pudding, pretty sure you are not a grammar Nazi, just Alt Write.

[jonu]

If you have a million in term deposits you pay tax on the interest every year. If you have a million in a company you pay tax on the profits every year. Why wouldn't I pay tax on the annual derived value of my Gin Palace? It is inefficient not to tax wealth invested in "non productive" assets.

I have no problem paying tax on income generated from an asset. There's no way I should be paying tax annually for just owning it, whether it be cash, a boat or my own house.

[moka]

I have no problem paying tax on income generated from an asset. There's no way I should be paying tax annually for just owning it, whether it be cash, a boat or my own house.

It seems unfair to me that you pay tax on income from your labour, but do not pay tax on capital gains which in the case of increasing house prices just happens while you sit in the couch. Increasing house prices is an unseen (private) tax on workers’ income because they have to work many more hours to pay for a house. A private tax is one that is not collected by government but by capitalists. This makes the rich richer and the poor poorer. It is in a country’s financial interest to have a strong middle class because economies do much better when this is so. If there is a wide gap between rich and poor this has a negative effect on GDP. If house prices are to be affordable for first home buyers then there has to be some form of wealth/capital gains tax. People invest in houses because of the capital gains which are untaxed. Investing in productive activity is usually less profitable, which does not make economic sense.
From 1957 to the late 1980s the average New Zealand house price was between two-to-three times the average annual household income.
Prices peaked at around six and a half times the average household income in 2008.
Auckland, at nine times income, was severely unaffordable, and up from 5.9 in 2004.
The country as a whole also ranks in this range, with a ratio of 6.5.
https://www.stuff.co.nz/business/110...housing-report
Infometrics economist Brad Olsen said house price growth had significantly outpaced incomes in recent years. Over 20 years, incomes were up 113 per cent but house prices 248 per cent, he said.
https://www.stuff.co.nz/business/117...p-unachievable

[blackcap]

It seems unfair to me that you pay tax on income from your labour, but do not pay tax on capital gains which in the case of increasing house prices just happens while you sit in the couch. Increasing house prices is an unseen (private) tax on workers’ income because they have to work many more hours to pay for a house. A private tax is one that is not collected by government but by capitalists. This makes the rich richer and the poor poorer. It is in a country’s financial interest to have a strong middle class because economies do much better when this is so. If there is a wide gap between rich and poor this has a negative effect on GDP. If house prices are to be affordable for first home buyers then there has to be some form of wealth/capital gains tax. People invest in houses because of the capital gains which are untaxed. Investing in productive activity is usually less profitable, which does not make economic sense.
From 1957 to the late 1980s the average New Zealand house price was between two-to-three times the average annual household income.
Prices peaked at around six and a half times the average household income in 2008.
Auckland, at nine times income, was severely unaffordable, and up from 5.9 in 2004.
The country as a whole also ranks in this range, with a ratio of 6.5.
https://www.stuff.co.nz/business/110...housing-report
Infometrics economist Brad Olsen said house price growth had significantly outpaced incomes in recent years. Over 20 years, incomes were up 113 per cent but house prices 248 per cent, he said.
https://www.stuff.co.nz/business/117...p-unachievable

You are being disingenuous. It is not capital gains Jonu is talking about. It is the green's proposed wealth tax. Ie you have a boat a house a batch and a couple of cars with some art thrown in worth $2m. Most of these assets are not income generating. Regardless you get taxed on an extra $10,000 (1% on the extra $1m over the $1m). Repeat ad infinitum.

[dobby41]

You are being disingenuous. It is not capital gains Jonu is talking about. It is the green's proposed wealth tax. Ie you have a boat a house a batch and a couple of cars with some art thrown in worth $2m. Most of these assets are not income generating. Regardless you get taxed on an extra $10,000 (1% on the extra $1m over the $1m). Repeat ad infinitum.

It's really good that this sort of thing is being debated.

[dobby41]

You wish.

Media simply reflect what public are thinking and discussing - don't shoot the messengers just because the media is not blowing smoke up Comrade Cindy's ego anymore.

Media like to wind things up - it generates clicks and views (read money).
They don't reflect what people are thinking and talking about.
People complain of media bias - if your statement was true then media bias just reflects the publics bias.