Debate on capital gains tax was front and centre at Question Time in Parliament today as political parties moved to position themselves ahead of a major policy announcement from Labour due next Thursday which is tipped to include a form of capital gains tax.
The National Party attacked what it believed Labour’s policy would be, suggesting a 15% capital gains tax just on investment properties would raise little to nothing in revenue for a number of years, and that in 15 years time such a policy would be raising NZ$700 million a year.
The Greens, buoyed by the fact their long-standing policy was finally dominating the national policy debate, asked National why it did not agree with a plethora of advice pointing to a capital gains tax, while co-leader Russel Norman read out a long list of nations that had such a tax.
Meanwhile, Labour was busy calling across the house that no policy had been finalised, with MPs wondering aloud where Finance Minister Bill English had got his information from on the 15% figure as it certainly hadn’t come from them.
Although Labour perhaps gave the game away when much laughter and noise did arise from their side of the House, directed at National, when Norman read out the long list of countries that had implemented capital gains taxes.