Friday, September 18, 2020

Opportunistic looting

The National Party has spent the last six months acting horrified at the cost of supporting people through the pandemic and banging on about how the debt must be repaid. So what was their economic policy released today? Massive tax-cuts for the rich, of course!

National has walked back on its controversial debt target, promising big tax cuts and a much looser debt target in its alternative budget.


The big sweetener is a temporary tax cut. This is achieved by lifting each of the tax thresholds on December 1. The 10.5 per cent threshold would rise from $14,000 to $20,000, with the 17.5 per cent threshold lifting to income between $20,001 and $64,000.

The 30 per cent threshold would apply to income between $64,001 and $90,000 and the 33 per cent threshold would apply to income above that.

But these cuts would be temporary, expiring before the next election, so its hard to see them as anything other than an shady election bribe. And naturally, the biggest beneficiaries will be those on the highest incomes, with someone on $90,000 getting over seven times as much as someone on $30,000. Meanwhile, they'll be paying for it with massive cuts to public services, slashing the health system which has saved us all during the pandemic. And they have the gall to call this "Responsible economic management". Its not. Instead, its just more opportunistic looting by National for the benefit of its rich cronies.