Tax Madness

Prepared by Chris Ng
31st August 2022

Less than 24 hours after the latest tax bill was released, the government has had to backtrack on imposing 15% GST on management fees paid by managed funds and Kiwi Saver providers.

If introduced, the GST would have been a cost to these funds and providers and ultimately a reduction to the savings of many New Zealanders. Although there was a consultation process, it appears the Government had ignored the impact on the amount saved by individuals if GST was imposed.

The backtrack comes after the headlines in major media outlets and the public reaction.

Once again we must question whether this Government's tax policy process will produce a better New Zealand.