Anderton Jim: Taxation (Urgent Measures and Annual Rates) Bill — In Committee 
Anderton Jim: Taxation (Urgent Measures and Annual Rates) Bill — In Committee 
[Volume:651;Page:165] 
Hon JIM ANDERTON (Leader—Progressive) 
: 
 The really scary thing about that speech is that the member said that it had taken a long time and a lot of thought to come up with this policy. I would have been much more comforted if Government members told me they gave it no thought and had no time to spend on it. The fact that they spent a lot of time and thought on it and came up with a dog of a policy like this is almost beyond belief. But the incredible thing is that we are told that we cannot afford to have research and development tax credits at a critical time for the New Zealand—let alone the world—economy but we can have and we can afford in the face of this enormous financial crisis around the world personal tax cuts that deliver 132 times more for the most affluent New Zealanders compared with the poorest. We can afford that but because of the world crisis we cannot afford to have research and development in New Zealand. 
Then we are told that we really want a quality spend. Well there is one thing that is slightly worse than that and that is no spend at all which is what this bill proposes. Part 2 is about destroying research and development capability in New Zealand. This part is an example of a Government that has put class warfare ahead of the need to grow our economy. We heard a lot about growing the economy yesterday—going for growth! The Government is going for growth one day but the next day it is cancelling all of the research and development credits proposed in previous legislation. On day one it is going for growth; on day two it is cancelling the possibility of growth by having no research and development credits. 
The most incredible thing of all is that it is not about punishing all businesses in New Zealand it is about punishing the most innovative and creative businesses in New Zealand—the businesses we depend on for our economic growth and development. Those are the very businesses the Government is targeting with this bill. It will target those companies in a way that is almost beyond belief in that at the same time someone who is earning say $750000 a year will be 132 times better off than someone who earns $25000 a year. So even if the Government is going to target the most innovative businesses in the community one would think it would help those who are the poorest but no it is doing the reverse. 
The National Government is clearly opposed to innovation. It can say what it likes but it is opposed to it. The Government is opposed to business success because the very businesses we want to succeed are the ones this bill punishes. The National Government is opposed to the agricultural backbone of our economy. I never thought I would have all the evidence to say that in this Chamber but this bill is clear evidence of it. The bill is what it looks like when we have a Government run by sneering city financiers instead of people who understand the real productive economy. 
Allan Peachey 
: Oh ha ha! 
Hon JIM ANDERTON 
: I will prove it to the member then. Can Government members answer three questions? How many times in the Speech from the Throne was the word “agriculture” used? None. There was not one mention of it in the Speech from the Throne. Where was the Minister of Agriculture in having any input into that? How many times in the Speech from the Throne was the word “exports” on which the First World standard of living of this country depends mentioned? 
Hon Ruth Dyson 
: How many? 
Hon JIM ANDERTON 
: None. There was not one mention of exports. How many times were the words “scientific research” mentioned in the Speech from the Throne? Scientific research is what our First World standard of living will depend on for the future in terms of the quality of the processed goods we produce and export to the world. 
Hon David Cunliffe 
: Twice? 
Hon JIM ANDERTON 
: No. 
Hon David Cunliffe 
: Once? 
Hon JIM ANDERTON 
: No none. In the Speech from the Throne there was no mention of scientific research which will set up this ambitious visionary Government for New Zealand. There was no mention of the most important backbone of the economy of New Zealand—our agricultural production—which members opposite suggest they represent. There was not a mention. I wonder what I will hear from Federated Farmers tomorrow. I got a framed certificate for putting agriculture at the top. Government members are not even putting it at the bottom. It does not get any mention whatsoever. Despite all the cant we had from Dr Hutchison scientific research could not even get a mention in the Speech from the Throne.