New Zealand: Opportunities Party’s asset tax policy | KPMG | GLOBAL

New Zealand: Opportunities Party’s asset tax policy

New Zealand: Opportunities Party’s asset tax policy

The Opportunities Party (TOP) released one of its key tax policies that aims to close two “loopholes”:

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  • Accumulating wealth, including owner occupied housing, that produces little or no taxable income
  • Business assets that make a taxable return below “risk-free” NZ Government bonds

The TOP’s solution would be to tax a deemed minimum rate of return on all productive assets, including all housing and land, if the ordinary tax rules would tax a lower amount. The tax collected would be redistributed through tax cuts weighted to lower income earners. TOP estimates 80% would either be unaffected or pay less tax.

The TOP also promises a policy for taxing foreign businesses before year’s end.

 

Read a December 2016 report [PDF 412 KB] prepared by the KPMG member firm in New Zealand

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