The new government released their new personal tax plan on Tuesday 9th of December, featuring altered tax levels and earning brackets. The new personal tax plan is set to come into effect on the 1st of April 2009, with changes on the same date of each of the next three subsequent years. The first year saw will see the earnings brackets change to $0 to $14,000, $14,001 to $48,000, $48,001 to $70,000 and above $70,001. The personal tax rates will become 12.5%, 21%, 33% ... Read More

The Government is looking to implement changes to the KiwiSaver scheme, specifically targeting inequality between high and low income earners. To help finance its tax cut policy, the National party planned to implement changes to Kiwisaver contribution rules. Specifically, the required contribution one would have to make would be cut from 4% to 2%, while the Government matched amount would still be capped at $20. Amongst low income earners this led to criticism as those earning below $52,000 would not be able be eligible ... Read More

Finance Minister Bill English stated on the 5th of December that ACC levies will rise on the 1st of April 2009. To cover shortfall in the Accident Compensation Corporation (ACC) accounts, which according to the new Government are a product of the previous government’s manipulations. Finance Minister Bill English is said to have until Christmas to decide the exact nature and amount of the increase in ACC levies that would be imposed on workers. The current problem arises from the “non-earners account” in the ... Read More

The new National government has made indications that they might be willing to support a new carbon tax scheme. Speaking at a Federated Farmers conference on the 18th of November, John key admitted that his National Party would be willing to consider a carbon tax in place of t Emissions Trading Scheme ( ETS). While he did not openly support the idea of a carbon tax, John key said that a committee would be set up to evaluate the benefits and drawbacks of ... Read More