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Adjusting tax brackets with inflation is a 'sensible, logical' move - Simon Bridges

Author
Newstalk ZB,
Publish Date
Wed, 24 Apr 2019, 9:09AM
National Party leader Simon Bridges.

Adjusting tax brackets with inflation is a 'sensible, logical' move - Simon Bridges

Author
Newstalk ZB,
Publish Date
Wed, 24 Apr 2019, 9:09AM

Simon Bridges says National plans to introduce a bill which will adjust brackets with inflation.

Within three years, people on the average wage will be paying the top tax bracket, Bridges said.

The top tax bracket kicks in at $70,000 a year, with the average wage currently on $66,000.

Simon Bridges told Tim Dower it is sensible legislation, which would help everyday New Zealanders.

"It is very hard to oppose because the logic is impeccable. If you're an average Kiwi, you were $20,000 below the top tax bracket about a decade ago, you're now $8,000 behind it...in the next two to three years you will be in the top tax bracket."

"So you're paying more tax, you've got more cost and you have got less money and the only entity doing well out of this is the taxman."

He said this is a serious issue that needs to be addressed, saying the policy isn't "all show and no dough".

"I do want to show New Zealanders that actually on the opposition benches there is a party that has got ideas, that actually has policies and plans and this is just one of them."

Bridges will this week enter a bill into the ballot requiring Government to adjust tax thresholds to inflation.

However, there is no guarantee it will be drawn before the 2020 election.

Each MP in Parliament who is not a minister has the opportunity to put a members' bill into the ballot.

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