Transnational Corporate Tax Shenanigans Need To Stop

It’s official. Many big transnational corporations are not paying their taxes. And the government doesn’t intend to do anything about it.

These corporations inflate the value of the goods and services supplied by their parent company, conveniently located in an offshore low-tax/no-tax haven, to equate to the value of most of their revenue from sales in New Zealand. This is ‘cost of sales’ and can be deducted from the money they make from sales as a business expense. Hey presto, very little ‘profit’. Very little tax to pay. Continue reading

$207 Million Per Day in Share Trading And No One’s Thinking About A Financial Transactions Tax. Seriously?

The NZX has reported that average trades increased in value in October by 56% to an eye-watering $207 million – per day.

That is $207 million worth of share transactions each day that no GST is paid on. For reasons that have never been made entirely clear, financial services, unlike other goods and services, are exempt from GST.

The government claims it is strapped for cash, especially when it comes to spending on essential services such as health, education, infrastructure, and social welfare. With the record-breaking turnover on the NZX, surely it is time to look at taxing financial transactions. Continue reading

Alliance tax plan would rebuild a civilized New Zealand

The Alliance Party is calling for a major overhaul of New Zealand’s taxation system to assist low to middle income earners, and to pay for free access to high quality public goods including health and education. Continue reading

Tax justice petition presented at Parliament

Tax justice petition presentation at Parliament, Wellington, 16 August 2011

Representatives of many supporting groups and unions attended the presentation of the Tax Justice petition to take GST off food and introduce a financial transactions tax, at Parliament Buildings in Wellington today.

The petition was received by Labour MP Su’a William Sio, and attended by Green and Mana MPs.

The Tax Justice campaign is a joint initiative of the Alliance Party and Socialist Worker.

 

 

Why New Zealanders are backing no GST on food campaign

A petition signed by 40 000 New Zealanders asking for GST to be removed from food will be presented at Parliament at noon tomorrow Tuesday 16 August 2011.

The petition also requests that a financial transactions tax – sometimes referred to as a “Robin Hood Tax” or “Hone Heke Tax” – be introduced, which would cover the cost of removing GST from food. Continue reading