John Key Doubtful on Capital Gains Tax

September 14, 2009 New Zealand Taxation  No comments

John Key has voiced his feelings opposing the idea of introducing Capital Gains Tax in New Zealand.

In a speech given on the 14th of September it was made adamantly clear by the comments of John Key, New Zealand Prime Minister, that he does not support the idea of introducing Capital Gains Tax into the New Zealand taxation system.

Capital Gains Tax and the feasibility and benefits of their possible introduction is being investigated be the Tax Working Group. Previously, John Key had been hesitant to give full comment on the idea of Capital Gains Tax so as not to affect the Tax Working Groups opinions prior to the investigation.
Having started their investigation, John Key has revealed his opinions. He claimed that it would take much convincing to see him side with the introduction of the tax, and “meteoric evidence” would be required.

The Labour Party has announced that they would be willing to work with the current National party led Government to see the introduction of Capital Gains Tax. Although, a proviso was demanded to mandate that the introduced tax would be levied solely on second homes, and not the owner’s primary house.