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Home / Business / Small Business

Readers put tax cuts ahead of KiwiSaver

Herald online
9 Oct, 2008 11:32 PM3 mins to read

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Helen Clark and John Key have put distance between themselves on tax.

Helen Clark and John Key have put distance between themselves on tax.

KEY POINTS:

Nzherald.co.nz Your Views contributors care little for KiwiSaver and just want National's proposed tax cuts.

The section has recently attracted a handful of writers who support the KiwiSaver scheme ahead of a larger tax cut from National but in the pages preceding, the tenor is overwhelmingly in favour of tax cuts.

The question: "Can National afford to cut taxes further?" was set up on October 2, before the Government's books were opened and has so far attracted 41 pages of feedback.

National's tax-cut package would leave more money in the pockets of those earning over $40,000 and be funded by down-scaling KiwiSaver and taking away research and development tax credit.

A person calling themselves IMO from Auckland said National's scheme was well balanced.

"It is about time that plain old works get something back rather than having to suffer for the sake of those having children they can't afford, or not bothering to get off their bum," IMO said.

Geoff from Tauranga applauded the changes to KiwiSaver because, he said, it provided people with more choice.

"It is up to the individual, unlike the Labour Party system which was: We know best and you do it our way or no way at all," Geoff said.

Bruce from Wellington attacked the critics of National.

"National has not said it plans to dump the scheme, quite the contrary in fact, as it has said it will make it more affordable for more people to join it.

"With more money in the pocket due to a reduction in the tax take, people can still choose to pay 4 per cent into the scheme. How is that kicking the stuffing out of it?" Asks Bruce.

A reader from East Tamaki in Auckland who calls themselves "Silver Fox" agreed.

"To those who moan about the KiwiSaver adjustments to be made when National take power, just where do you think the money comes from for the handouts?

"Labour have dished out for Kiwisaver from your tax and that is another reason why you pay so much tax and why those who cannot join Kiwisaver are obliged to pay extra tax so you get a "handout"," Silver Fox wrote.

But there were some who disagreed. Magz from the Bay of Plenty said National's tax cut policy was vote buying.

" I looked upon the 4 per cent employer subsidy on my KiwiSaver as a means of being confident of a reasonable income in my old age!"

A person calling themselves "The Rock" from Panmure was a National voter until the release of their tax package on Wednesday.

"Four months ago John Key made some mistakes and I was still for a National-led government. Now however, he can completely forget my vote.

"I'm a solo-dad earning a good living, in excess of $35,000. On KiwiSaver and Working For Families, I feel we already have tax cuts now and it's not worth losing what my employer is putting in for me, just for a few extra bucks from National," said The Rock.

Joseph Wong from Epsom had a warning for voters.

"Parties play number games before [the] election and when the acid test comes they have 100 + 1 reasons for breaking their promises," Mr Wong said.

He went on to say: "National may well blame Labour for not leaving them a great amount of money for them to squander. Don't just listen to what they say, look more what they did, John Key has so far done nothing, and I won't trust them to do a better job than the Labour."

- NZHERALD STAFF

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Can National afford to cut taxes further?

01 Oct 08:15 PM
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