Comments on: ★ Just GST

By: Steven

Steven — Mon, 19 May 2008 03:50:06 +0000

I like the GST only based tax idea (I’ve heard it called “Fair Tax”) because you immediately save millions by firing everyone who works in policy making at IRD. It also makes so much sense, people with less money spend less and will therefore pay less tax, those with more spend more and pay more. There are no loopholes to worry about and less government employees needed to enforce it. You’ll never need an accountant to work out your taxes, in fact you won’t even file a return, how’s that for compliance costs!!! In fact it makes SO much sense that it will NEVER EVER happen. Even in a tiny country like NZ where it would be ridiculously easy to introduce.

By: Gavin

Gavin — Mon, 19 May 2008 03:19:06 +0000

Other voters = 101%

Rounding wins!

I agree that tinkering with GST will just increase business costs for compliance and those just get passed on to those who were supposed to benfit from those changes.

IMO the best and fairest across the board move would be to slash the taxt rate on the bottom tax bracket. Everyone gets an equal benefit and it’s a lot easier to manage.

By: Frank

Frank — Sun, 18 May 2008 23:05:07 +0000

Ideally you want people ten or twenty times smarter than the average, making considered decisions about this sort of thing before the law of unintended consequences gets a hold of what you implement.
Unfortunately we have policitians making the decisions who’s primary response is to go with what would make people happy in the short term.
I especially would not like to see a complex fiscal decision made by the average New Zealander. They simply are not smart or well informed enough to make a good call.

By: Simon Young

Simon Young — Sun, 18 May 2008 03:54:36 +0000

Slip of the tongue. Slip of the _GST_ system. The rest of the tax system … ah, yeah.

By: Steven

Steven — Sun, 18 May 2008 03:32:44 +0000

Whenever someone says that the “simplicity of our tax system is admired globally” I always wonder what kind of other things those people admire? Probably North Korea’s policies on political freedom or South African Race Relations policies from the 80′s….

By: Simon Young

Simon Young — Sat, 17 May 2008 22:43:26 +0000

I agree with you all the way on this. John Chewan of PwC put forward a really good case on how the simplicity of our system is admired around the world, and cutting GST on food would make it harder for those who need relief the most. Let’s not ruin a good thing.