The Government’s mishandling of tax status for charitable community housing providers is jeopardising projects to house some of New Zealand’s most vulnerable families, Labour’s Associate Housing and Community and Voluntary sector spokesperson Poto Williams says.
“National has allowed this confusion to continue for almost two years. Their latest move, rules that mean Far North Iwi He Korowai Trust will lose its charitable status if it allows families to pay off their homes, is simply nuts.
“If housing needy families isn’t charity, I don’t know what is.
“The Korowai Trust has bought nine old state houses and renovated them for the homeless in Kaitaia. It was about to purchase another ten.
“Community Housing Aotearoa has already argued the Government has got it wrong in saying that home ownership programmes are by definition non-charitable.
“This has huge implications for the homeless and disabled as the Government has promoted charitable trusts as the way to take responsibility for the homeless and disabled.
“What we need is a complete review of the Charities Act,” says Poto Williams