Tim Dower: What's the point of being PM if you can't force change?

Author
Tim Dower,
Section
Opinion,
Publish Date
Thursday, 18 April 2019, 11:08a.m.
Prime Minister Jacinda Ardern. Photo / File.
Prime Minister Jacinda Ardern. Photo / File.

COMMENT

So the capital gains tax is a goner.

And that announcement was a big surprise.

Most commentators and all the finance people were saying they expected something less than the Tax Working Group's wish list.

Simon Bridges is trying to claim credit saying National's campaign against a CGT was what killed it.

Truth of it though is we know who really killed a capital gains tax - it was Winston Peters.

A couple of things here.

We all know who really killed capital gains tax, says Tim Dower. Photo / Mark Mitchell
We all know who really killed capital gains tax, says Tim Dower. Photo / Mark Mitchell

Personally, I never liked the idea it's always seemed like a double-dip.

When people make a capital gain on a property...or on shares or from a business they've already been taxed.

You pay your mortgage from your after-tax wages or salary you buy shares from after-tax savings and of course, any dividends are taxed along the way.

If you make a gain when you sell your business or your farm that's your compensation for the risk you took and all the unpaid work you've put in.

The question I'm left with is if a politician, say for example a Prime Minister, truly believes in something but realises they'll be out at the next election if they push that belief is their integrity gone?

Jacinda Ardern may well have saved Labour's chances at the next election, but what's the point of being elected with such an important part of your wish-list gone?

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