Robertson Grant: Taxation (Transformation: First Phase Simplification and Other Measures) Bill — In CommitteeText is incorporated into the Bound VolumeRobertson Grant: Taxation (Transformation: First Phase Simplification and Other Measures) Bill — In Committee[Sitting date: 24 May 2016. Volume:714;Page:11163. Text is incorporated into the Bound Volume.]GRANT ROBERTSON (Labour—Wellington Central): In clause 1 I do want to refer to the title of the bill. It is the first and second words of the title of the bill that I want to reference: taxation transformation. Well I think we have heard in the course of the debate tonight that it is the view of the current Government that the transformation of our taxation system relies on the definition of verbs—that is going to transform our taxation system. It relies upon electronic signatures being allowed to be used—that is transformation for this Government. It is about the ability of young people to opt out of KiwiSaver—even though none of them have actually asked to—that apparently is transformative as well.Transformation of our taxation system will occur when the Government gets off its chuff and starts actually making people pay their fair share. Fundamentally tax is the price of a decent society the price of a fair society and the price of making sure that every single New Zealander gets the opportunities that they are entitled to by being here. It is about making sure that everyone gets a fair go—David Bennett: No it’s not.GRANT ROBERTSON: —and David Bennett does not care about New Zealanders getting a fair go. David Bennett is so out of touch that he does not think that transformation of the tax system in New Zealand actually requires people to pay their tax.I will tell you what else would transform the tax system in New Zealand: when the Prime Minister gets up—he is talking about multinational tax avoidance—and says “Well you see the problem here is that the ethical thing to do might not be the legal thing to do.” How can those two things be different in a proper functioning tax system: the ethical thing to do and the legal thing to do—they are not quite the same? If we were transforming the tax system—which is what this bill says in its title that it wants to do—then we would not have the Prime Minister standing up and saying that. We would have a Prime Minister who actually understands the difference between right and wrong and who actually understands that everybody paying their fair share is the core of our tax system.With all due respect to colleagues who use phrases like “aggressive tax planning” “aggressive tax planning” is people getting away with not paying their fair share. That is why members on this side of the Chamber have been so annoyed and upset with the blasé attitude of the Government to New Zealand’s increasing reputation as a tax haven. I know that the Minister and others will say “But we’re not a tax haven”—The CHAIRPERSON (Hon Chester Borrows): Order! I just want to bring the member’s attention to the fact that a Supplementary Order Paper addressing the issue that the member is straying into has been found out of order. He was allowed the opportunity to make an aside. If he wants to continue to make this a bigger chunk of this speech then I am afraid that he will have to sit down.GRANT ROBERTSON: I am referring to the title of the bill which claims to be transforming our tax system—The CHAIRPERSON (Hon Chester Borrows): Well make that argument then.GRANT ROBERTSON: —and the transformation of the tax system we are looking for on this side of the Chamber is one where we can hold our heads high internationally. That would be a transformed tax system. A transformed tax system would collect the billions of dollars from multinationals that decide that they do not want to pay tax in New Zealand. Transformation would be about saying we stand for every New Zealander paying their fair share. Would it not be a great day when rather than aggressive tax planning we actually had companies and individuals in New Zealand who said: “I am paying my tax because it’s the right thing to do. I’m paying my fair share because it’s my contribution to society. It’s my way of saying I am part of society.” That would transform our tax system not tinkering about the edges not looking into whether or not different parts of the IT system work or not but actually saying that our tax system is the fundamentals of a decent society the fundamentals—Andrew Bayly: Why don’t you just say it—you want to put up tax rates?GRANT ROBERTSON: —of what allows New Zealanders to do that.Andrew Bayly is talking to us here about the right and wrong thing to do. Andrew Bayly and his Government need to make sure that they are on the side of ordinary New Zealanders—David Bennett: Oh what a load of rubbish.GRANT ROBERTSON: David Bennett reacts—the people who pay their PAYE every day of the week those New Zealanders who do the right thing who meet their tax obligations—and David Bennett would prefer to be on the side of the fortunate few who can hire an accountant and hide their tax. Well shame on you Mr Bennett. Shame on you. If you want to transform the tax system Mr Bennett get alongside parties who want New Zealanders to do the right thing. [Bell rung] Mr Chair? There ain’t no one else.