Foes on attack over Nats' GST

Labour MPs, smarting from the party's decision to pay back $825,000 worth of unlawful election spending, have continued to vent their frustrations on National and its GST debt to several broadcasters.

During question time in Parliament yesterday, Education Minister Steve Maharey and Labour list MP Moana Mackey conspired to turn a question about mathematics teaching into a dig at National leader Don Brash over the GST bill.

National has said the $112,000 bill was due to a misunderstanding between the party and its advertising booking agency. Dr Brash has attempted to introduce a bill which would allow National to pay the money without breaching its advertising allowance but has been blocked - an impasse which has seen broadcasters having to pay thousands of dollars of GST to Inland Revenue.

Ms Mackey asked Dr Maharey what gains to the New Zealand population there would be if everyone reached a high standard of basic numeracy.

"It would, for example, allow the leader of an organisation that contracted for services with a broadcaster to understand that the organisation has to pay GST," Mr Maharey replied.

"If the GST added up to $115,000, and if there were a fine of $100,000 attached to it, that leader would know that the organisation had to pay back $215,000."

While Labour MPs took up a ragged chorus of National's recent catchcry "Pay it back", New Zealand First leader Winston Peters asked Mr Maharey about the wisdom of attending a function organised by Revenue Minister Peter Dunne to mark the 20th anniversary of GST, "one of the architects of GST being the leader of the National Party".

This week National president Judy Kirk stressed that the party wanted to pay the bill but legally it couldn't as to do so would see National intentionally break the law.