Ross Jami-Lee: Taxation (Bright-line Test for Residential Land) Bill — Second ReadingText is incorporated into the Bound VolumeRoss Jami-Lee: Taxation (Bright-line Test for Residential Land) Bill — Second Reading[Sitting date: 03 November 2015. Volume:709;Page:7608. Text is incorporated into the Bound Volume.]JAMI-LEE ROSS (National—Botany): As an electorate MP in Auckland I can tell the House quite safely that this bill is a moderate and reasonable measure that is enjoying support from New Zealanders in Auckland because they are seeing that this Government is taking steps to try to get on top of many of the issues that they facing when it comes to housing. This is a good change that is being put forward because it is important that those who are speculating on property do pay an appropriate level of tax and those who are wishing to engage in buying and selling property within a short space of time pay their fair share of tax and that is what this bill aims to do.We have heard from parties opposite that this measure is not enough and that we need more. Mr Tabuteau said it is empty words. Ms Sage said it was an empty gesture. I just want to outline to the House all of the things we are actually doing. In no way can the Government’s response to housing in Auckland be described as an empty gesture. We have changed legislation to allow the fast tracking of consents in Auckland to increase the supply of housing and 47000 potential sections are available to be built on in Auckland. That is not an empty gesture. We have sped up the unitary plan process in Auckland and taken 7 years off the process’s time frame. That is not an empty gesture. It will lead to better planning law and it will lead to changes that will open up land in Auckland much faster. That will help with housing.We have changed the law in order to require all people entering into a property transaction that is not for their main home to provide an IRD number so we can effectively track them properly particularly those buying and selling property from overseas. We have increased considerably the enforcement ability of the Inland Revenue Department by increasing its budget by $33 million several Budgets ago which has brought in $8 for every $1 that we have given the department to enforce the current law.We are also giving the Inland Revenue Department an extra $30 million to undertake more enforcement. That is not an empty gesture. We are going to be introducing fairly soon a withholding tax on those who are buying property from offshore so that we can ensure that we capture the appropriate tax that they should be paying properly and effectively. That is coming in soon. Finally this particular change this legislation where we introduce the brightline test will ensure that any person buying or selling within 2 years a home that is not their main home pays tax on that appropriately. This is a programme of housing responses that is reasonable and it is necessary to tackle the housing issues.When the people on the other side of the House come up with great ideas they have to remember that many of the ideas such as a capital gains tax have not worked in other countries. The most important thing we can do to deal with housing is to increase the supply and ensure that those speculating are taxed properly. The Government’s housing response is in no way an empty gesture. It is very comprehensive and those sitting on the other side should recognise that New Zealanders expect us to have a reasonable response and that is exactly what we are delivering. It supplements all of the things we are doing already in the housing space. It is not the solution all by itself but combined with many of the factors and many of the other measures I have outlined here today it will help housing in Auckland and it will help housing in New Zealand and that is a good thing.