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  • A history of supporting New Zealanders

    As a Government, we know that fixing long-term problems needs fresh thinking and energy. We need to fix the immediate problems facing New Zealand, but we also know we need to look thirty years ahead, not just three - all while being economically responsible.

    Budget 2018: what to expect

    This week, the Government will announce its first Budget. On Thursday, you’ll see what's in store for the coming year (and beyond!) as we present our fully-funded plan that'll set a course for New Zealand’s future.

    Ahead of Thursday’s announcement, here’s a preview of what Budget 2018 will bring.

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Shanan Halbert

To get the latest from the Labour-led Government, click here.

Latest Headlines

Fisheries NZ has new focus on innovation

· May 23, 2018

Fisheries Minister Stuart Nash says the creation of a new specialist organisation dedicated to the sector will lead to greater innovation in the way we fish and the way we manage the resource.

“Today marks the first full day for Fisheries New Zealand. It is one of four new dedicated business units within the Ministry for Primary Industries along with Forestry New Zealand, Biosecurity New Zealand and New Zealand Food Safety,” Mr Nash says.  

“Fisheries New Zealand also carries the te reo Maori name Tini a Tangaroa, or whole of the sea. I thank my ministerial colleagues Shane Jones and Peeni Henare and others for their guidance on this name.

“Fisheries New Zealand, as its te reo name implies, is deeply interconnected across the whole of the sea. Our fisheries carry cultural significance and meanings, contribute to regional economic development and employment, and provide recreational and leisure opportunities. Our unique maritime environment also speaks of our country’s identity and reminds us of the need to ensure sustainability for future generations. 

“We need to balance the commercial benefits from fisheries with the responsibility to look after our treasured marine mammals and seabirds and to reduce the impact of fishing on the environment. Quicker and more accurate information about commercial fishing will allow us to better manage our fish stocks, and to understand and mitigate risks to protected marine species.

“Fisheries and aquaculture bring $1.74b into New Zealand per year and create thousands of jobs. We need to keep demonstrating that fish from our waters are sustainable, and that the environmental impact of fishing is being mitigated.

 “I will be looking for Fisheries New Zealand to do things differently. That means greater innovation in both the way we fish and the way we manage our fisheries. It also means greater engagement with stakeholders, and a focus on developing and implementing 21st century solutions to fisheries challenges. Fisheries New Zealand will have greater visibility and allow for a single point of accountability to enable a better understanding of who is responsible for fisheries management.

“Around 120 staff are brought together into Fisheries New Zealand, along with around 100 fisheries observers. They are based in eight sites from Whangarei to Dunedin. Fisheries New Zealand combines fisheries science, aquaculture, management, planning and monitoring. Other staff in MPI will continue to provide legal, policy and other shared services,” Mr Nash says.

Cracking down on tax dodgers and restoring fairness

· May 23, 2018

New initiatives to make the tax system fairer and a crackdown on tax dodgers are expected to provide the Government with an extra $726.3 million of revenue over the next four years, says Revenue Minister Stuart Nash.

“The Coalition Government is committed to being fiscally responsible. Creating more fairness in the tax system is a critical part of this,” says Stuart Nash.

“Extra revenue from cracking down on those dodging their tax obligations, while levelling the playing field, will help the Government address significant under-resourcing of critical public services. We are reducing distortions in the tax system and ensuring everyone pays the right amount of tax.”

“Budget 2018 gives Inland Revenue $31.3 million of operating spending over the next four years, including $23.5 million to ensure outstanding company tax returns are filed. This is expected to recover approximately $183.3 million.

“It also includes $3.0 million of operating funding over the next four years to analyse the potential to improve tax compliance in specific industries through the use of third-party reporting and withholding taxes.

“Recently announced initiatives to reduce distortion in the tax system and boost productivity will also provide more revenue. Ring-fencing rental losses will mean speculators and investors can no longer offset tax losses from residential properties against other income to reduce their tax liabilities.

“This is expected to boost revenue by at least $325 million over four years and further dampen property speculation, while encouraging investment in the productive economy.

“Meanwhile, offshore suppliers of low-value goods will be required to register for, collect and return goods and services tax (GST) just like New Zealand retailers have to. This is estimated to provide $218 million in new revenue over the next four years, and is expected to increase each year as online shopping continues to grow.

“This Government’s plan includes adequately funding health, education and housing, increasing police numbers, and lifting more children out of poverty. We are not changing tax rates. But we do need a tax system that is simple, balanced and fair – where people and businesses comply with their obligations, and where those in similar circumstances pay the same amount.

“Our Tax Working Group is also tasked with making recommendations for a fairer and more balanced tax system. It will report back in early 2019 and no significant changes recommended in the Group’s final report will come into force until after the 2020 election,” says Stuart Nash.

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