Tax cuts

[Lou Girardin]

I've just realised why there's a sudden clamour for tax cuts.
It's to pay for the increased mortage costs for those people who enjoyed our "economic boom" now that it's slipping away.
Economic boom being rising house values.

[Motu]

Real Eastate Agents have a lot to answer for - this whole economy is running on the back of inflated house prices.Oh goody,my ex state rental is now worth half a million dollars,I'll go down to AMPS and get a new Rocket III,the bank will just put it on the mortage.

My sister in law has just found out the bank now owns her house....and the rental she bought on it's inflated value.OK,she is stupid to let that happen....but there are a lot of stupid people out there.

[vifferman]

Real Eastate Agents have a lot to answer for.

Feckin parasites the lot of them, like almost all agents.
When I'm God [Cue neg rep points from Zed], they'll be among the first up against the wall.

[Eurodave]

I see now Trade Me is listing houses ,excellant ,goodbye land agent blood suckers, ABOUT BLOODY TIME!!!!

[TwoSeven]

Tax cuts are good for the reason that they raise the amount of discretionary spending (which then gets taxed with GST). In otherwords you pay your tax when you spend your money, but at least you get to choose what you spend it on.

Its better than being in my position where I pay so much tax, I'm literally working 1/3 of the year for nothing.

However, I have no issue with paying tax. Don't mind the bludger on the dole, or the chap thats in the library, or the sports person funded by the government or the new road round the corner thats finally been fixed, or the younguns getting the flu jab.

What I do mind very very much is deadweight caused by government inefficiency. Labour seems to be generating it hand over fist.

New zealands monetry policy is controlled by the reserve bank based on money supply, so what policies the government has don't actually have an impact. About all the government will do is borrow from its current account at the reserve bank in the same way that local banks do. They have a ratio of debt repayments to spending just like banks do and work pretty much the same way.

If you want to make life easier for yourself, save money, then the local banks wont have to borrow so much from their current accounts which will easy money supply and allow the reserve bank to lower the OCR (official cash rate) which makes local goods cheaper.

[MSTRS:Me]

If you want to make life easier for yourself, save money, then the local banks wont have to borrow so much from their current accounts which will easy money supply and allow the reserve bank to lower the OCR (official cash rate) which makes local goods cheaper.

Oh goody - in 2007 was it? when I get my 67c per week taxcut, THEN I'll be able to save some. Ooooops that's right - I selfemployed, no cut for me I dare say. Oh well - I'll just increase my prices so I'll have some to save. Ooooops - that will fuel inflation. DAMNED if I do & DAMNED if I don't

[Brian d marge]

Here in Japan, our tax is 5 percent goods and service ,,,,and a comunity tax of 1.4 percent ...A Year

Our Insurance bill last year was 9.4 percent ...

NZ is fiscally responsable , but that tax does hurt a bit !

Stephen

[Big Dave]

I could sure do with some tax cuts - I got a 'provisional tax' bill yesterday.
Tax on money i haven't earned yet!?! Yeah right.

[Lou Girardin]

I could sure do with some tax cuts - I got a 'provisional tax' bill yesterday.
Tax on money i haven't earned yet!?! Yeah right.

That's the price you pay for being a capitalist running dog.

[idb]

I could sure do with some tax cuts - I got a 'provisional tax' bill yesterday.
Tax on money i haven't earned yet!?! Yeah right.

And IRD don't pay interest or penalties if the assessed amount was too high.

[Ixion]

And IRD don't pay interest or penalties if the assessed amount was too high.

Sure do charge them if you estimate too low though!

[TwoSeven]

Oh goody - in 2007 was it? when I get my 67c per week taxcut, THEN I'll be able to save some. Ooooops that's right - I selfemployed, no cut for me I dare say. Oh well - I'll just increase my prices so I'll have some to save. Ooooops - that will fuel inflation. DAMNED if I do & DAMNED if I don't

I dont see the point of your argument anyhow. If you are self employed, your not on the save tax regime as the majority of workers. You'll only be paying tax on the wages you pay yourself, which as many self employed do - is less than 60,000 per year.

[TwoSeven]

Here in Japan, our tax is 5 percent goods and service ,,,,and a comunity tax of 1.4 percent ...A Year

Our Insurance bill last year was 9.4 percent ...

NZ is fiscally responsable , but that tax does hurt a bit !

Stephen

Putting this into perspective, Japan has no social policy. It works on a free market economy you you have to provide your own services. If you cant afford to do that, then you lose out. Most asian economies work on that model.

In New Zealand we choose to have social policy and support for people - we voted for the 1948 human rights convention which about 50 other countries also subscribe to. In this convention are the requirements to provide social security, pensions, support for the poor people and people that cant support themselves (such as disabled).

We also vote for relatively good infrastructure (we tend to vote out governments that fail in this respect - hence its an issue in the current election).

So, as a country, we choose to pay more tax to provide services that make life for us easier to live.

In regards to japan, hong kong etc. Remeber that there are people in worse off economic situations that would kill to be poor in a country like japan or hong kong and Asians do not come from a culture where it is acceptable to ask for basic standards and human rights. So those countries are reflecting one of ignorance is social policy and desire from even poorer people to take whats given. Remember that NZ does not allow those poor people to come here (as NZrs see them as a burdon to society), so in that respect asian countries actually have a better social policy.

[Hitcher]

Real estate agents? Overpaid, lazy, disingenuous liars, extortionists and con artists. And those are the good ones. Their whole "profession" is all about them, not about their "clients". And they have the gall to think that Location, Location gives them bad press, when it probably shows them in too good a light. If anybody wants to line them up against the wall, can I please be in the firing squad?

[MSTRS:Me]

I dont see the point of your argument

My point is that the majority of wage earners do not have a lot left over for a meaningful savings account, the taxcut will not make a blind bit of difference, selfemployed peoples probably won't see any benefit to them from the so-called cuts, large savings accounts *may* reduce inflation but I'm not alone in not having one and if I put my prices up (to pay myself more) then that would only fuel inflation. Seems pretty simple to me.