Another day on the campaign trail and the Labour Party has announced yet another tax, National Party Campaign Chair Steven Joyce says.
“Today we have more evidence that Labour would make a big change in economic direction that would slow down the New Zealand economy,” Mr Joyce says.
“Labour’s new tourism tax is on top of their regional fuel tax, their water tax, their capital gains tax, and their plan to cancel the tax threshold changes. That’s five more taxes before we even get to sugar tax and land taxes.
“The great irony is that you don’t need to add more taxes if you run the economy well and get back into surplus. And new taxes only slow the economy down.
“National has allocated $102 million for new tourism infrastructure in Budget 2017 without adding a new tax - which is four years of the amount Labour are saying they would allocate.
“We’ve also added $76 million for conservation infrastructure without going to a new tax.
“And once again Labour are very light on the details. They say it would be linked to the Border Clearance Levy but that’s paid by everyone that crosses the border. Will they need to set up another bureaucracy to identify the visitors from everyone else? Or maybe a working group to work it out?”
“New Zealand’s tourism industry operates in a competitive world environment. We are just 0.3 per cent of world tourism so we need to be careful about our cost structure. Already the latest international survey says visitors see us as a high-cost destination.
“New Zealand is heading in the right direction. Five new taxes can only slow our economy down just when we are making good progress. We need to keep the country moving forward so we can keep delivering for all New Zealanders.”