The NZ Business Roundtable has calculated that on Sunday 24 April, we may have reached tax freedom day – the day where you start to get to keep your hard earned income.
Up until now all those in employment have not actually had a cent of their wages go towards them or their family. It has all gone to Dr Cullen for hip=hop tours, wananaga, goldehan handshakes and the like. From this weekend you can now keep what you own.
Under Labour tax freedom day is twelve days later than what it used to be. Jim Anderton would like it to be in December no doubt.
If you include total government spending to work out tax freedom day, then it doesn’t occur until 22 May.
Talking of tax, did you know the following:
* IN NZ the top tax rate comes in at 1.2 times the GDP/capita while in the US the top rate only comes in at 8.2 times the GDP/capita.
* The top 2.58% of taxpayers pay 24% of all personal income tax, nine times their share of the population
* That the top 50% of households effectively pay for 100% of public expenditure as the bottom 50% receive more in social expenditure than they pay in taxes.