New Zealand is now on a path towards tax and spend, European-style socialism, with interest.co.nz’s analysis that Kiwis will be paying $860 million more in taxes each year in 2022.
"The underlying problem is that politicians are far too eager to buy votes with low-quality spending", says ACT Leader David Seymour.
"No major party is willing to cut government waste and so taxes must rise to cover the bill.
"The government spends $8.8 billion each year on ‘Economic and industrial services’ alone, much of which is corporate welfare.
"Coupled with billions in wasteful spending, the Government’s surplus of $5.5 billion is obscene.
"Taxing Kiwis to buy votes provides the wrong incentives and ACT would introduce a top personal and company tax rate of 25 per cent within the current surplus.
"What would the Nats do? Finance Spokesperson Amy Adams told interest.co.nz it’s too early to say. If history is any guide, the Nats will leave Labour’s massive spending programmes in place and raise taxes instead.
"It doesn’t have to be this way.
"Rolling back the size and scope of the state so focuses only on delivering high-quality, genuine public goods would mean that New Zealanders could have serious tax cuts.
"New Zealand can have a smaller, smarter government. Only ACT can deliver it", says Mr Seymour.