] NEWS: Clark misleads over tax cuts - Rt Hon John Key
News release

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06 November 2007
NEWS: Clark misleads over tax cuts

Helen Clark has misled the public over personal tax cuts and the advice the Labour Government has received over many years about room for tax cuts, says National Party Leader John Key.  (click here for video of Question Time)

"Helen Clark has no answers on this issue, as Parliament's question time showed today.

"She had no answer to her own comments to the Labour Party conference in 2000 that: 'Tax cuts are a path to inequality… They are the promises of visionless and intellectually bankrupt people'.

"She had no answers to the fact that Treasury told Michael Cullen in 2003 that: 'This healthy fiscal position presents the Government with scope to cut taxes, increase expenditure, and build up financial assets'.

"And she had no answers to Michael Cullen's comment to a television reporter: '$8.5 billion surplus and still no tax cuts. So? What's the connection between the two? None. Right?'

"Helen Clark and Michael Cullen have failed over eight years to cut taxes, and their claims that they now believe in them are simply not credible.

"They have argued time and again against them - despite all the official advice to the contrary.

"Only now, when they are desperate, are they trying to convince the public that they believe in tax cuts and it was the fault of the officials all along why they didn't earlier.

"Helen Clark's arguments are simply not credible."


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#1 - Arthur Charles Davis 2007-11-12 20:11 - (Reply)

I think the reason the Labour Govt is reluctant to grant personal tax cuts is because of the Working for Familes "tax credits" - these have made about 60% of earners "beneficiaries" on the state, including those earning up to $100,000. To give a real tax cut to all taxpayers would see these beneficiaries get "too much", and there would be an enormous backlash against the Govt if there were to a claw back of the Working for Families package coincident with the introduction of personal tax cuts. I think you should do some work on this aspect, not just to expose the Govt. but to work out how National is going to deal with this issue. A C Davis


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