Inland Revenue is seeking feedback on the scope of its next long-term insights briefing.

Long-term insights briefings are future-focused think pieces that government departments produce every three years. They provide information on long-term trends, risks and opportunities as well as possible policy responses. The briefings are developed by departments independently of ministers and are not current government policy.

Inland Revenue is proposing that its next long-term insights briefing explores what broad structure of the tax system would be suitable for the future, given long-term fiscal pressures and current tensions in our system.

The briefing would approach this topic by focusing on two elements of the tax system: the regimes for taxing income and consumption, and the mix of tax bases.

CA ANZ supports consideration of the chosen topic but emphasizes the importance of evaluating options in light of future international trends and New Zealand’s specific circumstances.

CA ANZ also notes that the briefing should generate a series of options for base expansion, with clear design parameters. Each option must be evaluated objectively using a pre-determined, formal framework.