Chartered Accountants Australia and New Zealand (CA ANZ) today called on political party coalition negotiators to avoid ad hoc changes to the tax system as part of their talks.
“Political objectives should not override the principles of good tax policy such as fairness, efficiency, sustainability and coherence,” said CA ANZ’s New Zealand Tax Leader John Cuthbertson.
“Doing so is likely to lead to a less effective tax system and cause for regret.”
Cuthbertson warned that rushed policy design and implementation will lead to unclear legislation and undercut the certainty taxpayers desire.
“The negotiators should also remember that pressure on the current overall tax base will only increase as the number of retirees grows and government spending increases over time whilst New Zealand’s workforce and income tax base decrease,” Cuthbertson said.
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