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

Who Benefits Most From TPPA Tariff Reductions?

Tariffs exist to protect local enterprises from perceived unfair competition from overseas competitors. Tariffs are a two-edged sword. Tariffs may mean less access to markets for exporters, higher prices, and less choice for consumers, but they also may mean better quality goods and more jobs for locals, with better pay and working conditions.

The Transpacific Partnership views all tariffs as bad. The TPPA encourages signatory countries to do away with tariffs. For our government it has been one of the agreement’s biggest selling points. New Zealand jumped the gun and did away with most of our tariffs in the 1980s and 90s. Most other countries did not follow suit. Continue reading

TPPA Protestors Not ‘Rent A Crowd’

The National government would have everyone believe that TPPA protesters are ill-informed, unemployed rabblerousers without anything better to do than make public spectacles of themselves. ‘Rent a crowd’, John Key calls them.

Nothing could be further from the truth. TPPA protesters are very likely the people serving you in shops and restaurants, cleaning your office, teaching your children, caring for you if you end up in hospital or residential care, giving you legal advice. TPPA protesters are a very large and diverse group from all walks of life. Continue reading

TPPA – Is It Time For A Citizens Initiated Referendum?

There have been record turnouts in all the main centres to hear Prof Jane Kelsey and Lori Wallach from Public Citizens Global Trade Watch speak about the reasons not to sign the TPPA.

People have taken to the streets in the thousands for the past two years or more to tell the government they don’t want New Zealand to agree to the TPPA. Online petitions have collects tens of thousands of signatures in a very short of time. The Green Party and New Zealand First don’t want a bar of the TPPA. Now the Labour Party has capitulated. Surely the time has come to flex our democratic muscles? Continue reading

Don’t Blame Pharmac

Keytruda is a new immune-oncology drug to treat advanced melanoma released recently by Merck Group at a cost of over $10,000 per month, per patient. Yet again we have a new cancer treatment that is prohibitively expensive released onto the market. Yet again we have clamouring for the government via Pharmac to shell out the extortionate amount of money required to procure the drug.

Of course the government should fund the drug, as it should fund any treatment proven to be effective in treating illness or disease. However the money will have to come out of an already stretched health budget or increased taxes. And it is totally unnecessary. The drug, like most new and effective treatments, is grossly overpriced in relation to the cost of production. Continue reading

You Have To Be Green To Be Red?

Environmental issues and social justice are intertwined. Global warming can only be averted by using the Earth’s resources in a fair and sustainable way.

Likewise, social justice can only occur if global warming is at least contained. Those most at risk from a planet with frequent extreme climate events, pollution, and scarcity of resources, are the same people at risk from unscrupulous employers who refuse to pay a living wage and provide safe working conditions. Continue reading