Turner Judy: Taxation (Annual Rates Business Taxation KiwiSaver and Remedial Matters) Bill — Second Reading 
Turner Judy: Taxation (Annual Rates Business Taxation KiwiSaver and Remedial Matters) Bill — Second Reading 
[Volume:644;Page:13438] 
JUDY TURNER (Deputy Leader—United Future) 
: 
 I do not normally take a call for my party on tax law as it is not something I pretend to be an expert on but this legislation represents for me personally our finest hour in my involvement with United Future with regard to the rebates on charitable donations. That is the sector I came out of prior to coming to this House and this is something that has been dear to our hearts since 2002. To finally see this legislation before the House today is a very exciting thing. 
What does this legislation do? First of all let us clarify that on estimate 1.3 million people in this country take part in voluntary activities. Donations to charities and to other non-profit organisations amount to about $356 million and that is just from people who claim tax rebates for their donations. So for many many New Zealanders this provision in this Taxation (Annual Rates Business Taxation KiwiSaver and Remedial Matters) Bill represents something that they have been looking forward to for a long time. Certainly in meetings the Hon Peter Dunne and I have had with people from the charitable and voluntary sector they tell us they are absolutely thrilled. 
I would challenge the National member who took a call previously and who tried to take some credit for this policy. I have National’s brochure sitting on my desk right now. It has a photo of Paula Bennett and John Key espousing and supporting the policies that this tax bill now delivers. Obviously this policy has been National’s policy only since John Key became the leader but United Future negotiated and secured this deal straight after the 2005 election. Who was leader of the National Party then? It certainly was not John Key. For National members to start to claim that this is somehow their policy and that the Labour Government has stolen it from them is a very shallow claim. The evidence is made very clear by those members’ own brochure with their new leader and new spokesperson for the charitable and voluntary sector. 
Rt Hon Winston Peters 
: So it’s not true. 
JUDY TURNER 
: It is not true at all I say to Mr Peters. 
Rt Hon Winston Peters 
: So it’s a lie then? 
JUDY TURNER 
: I would not want to use that word but let us say that those members were careless with their use of the truth. 
United Future is hugely thrilled to see this bill going through. What does this mean for the average voter? Let us just imagine somebody who gives $3000 a year to various charities and non-profit organisations and who is on say an income of $35000 a year. Under the current rules that person would be entitled to a rebate of $630. Under the new rules after this law is implemented the rebate would be $1000—33.3 percent of the $3000—and that would be a gain for that voter of $370 of tax rebate. The news is also good for those who are in companies and for Maori authorities. The 5 percent deduction limit on donations is removed and companies are given a much freer hand. 
One of the things that I am particularly excited about is the number of New Zealand businesses that really do demonstrate social responsibility. They are regular givers and they have a charitable wing to their business where they very thoughtfully and constructively give to the voluntary and charitable sector. They welcome this opportunity to be able to give much more generously to causes they believe in. They understand as many New Zealanders and many Kiwi mums and dads understand that giving back to the community is a good thing to do and that the health of the community that they rely on does not exist in some sort of vacuum. It exists because people get off their proverbial backsides and commit their time and money to the good of their community. 
This bill stops at a certain point—it stops at fixing up the rebates on charitable donations—and United Future is acutely aware that there are some other things that need to be fixed for the voluntary and charitable sector. We have continued to do that work. I will mention particularly the work the Hon Peter Dunne has done with Inland Revenue Department staff and the charitable and voluntary sector because there are some other things that need to be looked into. For instance there is the need for a provision as is the case in overseas jurisdictions where people are able to give as part of their payroll provisions and we are certainly looking into that. 
We also need to look at streamlining the tax treatment of volunteers for their reimbursement payments and honoraria and again United Future and the Hon Peter Dunne are taking progressive steps. Peter Dunne has just released a discussion document for New Zealanders to comment on with regard to how these may be implemented. Several models are available for the Government to look at. United Future along with the Government is looking for feedback from New Zealanders as to which of those payroll-giving options would best suit them because we certainly believe that this sector which we could almost describe as the glue that holds New Zealand society together deserves this break. United Future has been very proud to be part of that.