National Party leader Simon Bridges today quizzed the Prime Minister over the economic Covid-19 bill and whether New Zealanders' tax will increase, or if new taxes will be introduced to pay for it.
Jacinda Ardern called a line of questioning around income tax "bizarre", but repeatedly would not answer if there would be new or increased taxes.
Instead, she said the Government was "focusing on increasing the incomes going into those lower middle-income earners and supporting us through this incredibly tough time".
It comes as the Covid-19 fallout has already cost the country more than $20 billion. Finance Minister Grant Robertson warned this morning there would be an impending run of deficits, with debt set to go "well beyond" previous targets , ahead of next week's Budget 2020.
In Parliament today, Mr Bridges asked Ms Ardern if she could rule out the introduction of a capital gains tax (CGT) or wealth tax.
The Opposition Leader said this year's Budget could lead to a poorer New Zealand in the future if money isn't allocated correctly. (Source: Other)
Ms Ardern, who ruled out a capital gains tax in April last year , told Mr Bridges that she had "already said that I'm not, as Prime Minister, going to bring in a CGT".
"Can we take it from that answer that she is considering a wealth tax?" Mr Bridges asked, to which Ms Ardern said, "No".
He then queried: "Can she rule out increasing personal income taxes while she is Prime Minister?"
Ms Ardern told Mr Bridges she found it "bizarre that when we're in a scenario where we are doing everything we can to support and increase the incomes going into families at this one-in-100-year event, the member would start asking questions like that".
"We are doing everything we can to support New Zealanders at this time. It does come at a cost, and that member is one of those who has argued for more to be spent rather than less."
Mr Bridges asked if she could rule out bringing in any new taxes or increasing existing taxes to pay for the Covid-19 debt.
"The total focus of this Government is supporting those... that are losing their jobs," Ms Ardern said.
"That is our singular focus: support for them, recovery for those industries, and making sure New Zealand is in the best possible position going forward, and I'm simply not engaging in political hypotheticals."
When asked again if she would not rule out new taxes, Ms Ardern answered: "We're doing everything we can to increase the amount of incomes going into households of people who are doing it tough."
On Mr Bridges' third attempt, he asked if those answers indicated "there may well be new taxes as a result of the debt that is accumulating today and through Budget 2020".
"That member should make no assumptions, no hypotheticals," Ms Ardern said. "But, as you can see from everything we've done, we're focusing on increasing the incomes going into those lower middle-income earners and supporting us through this incredibly tough time."
SHARE ME