Robertson Grant: Oral Questions — Questions to MinistersText is incorporated into the Bound VolumeRobertson Grant: Oral Questions — Questions to Ministers[Sitting date: 24 September 2015. Volume:709;Page:7063. Text is incorporated into the Bound Volume.]5.GRANT ROBERTSON (Labour—Wellington Central) to the Minister of Revenue: Does he agree with the New Zealand Law Society that “This bright line test is a bad idea and shouldn’t be enacted as in our view it will be ineffective in meeting the stated policy objective”?Hon PAUL GOLDSMITH (Minister of Commerce and Consumer Affairs) on behalf of theMinister of Revenue: No.Grant Robertson: Why was Mr Tomlinson from the New Zealand Law Society wrong when he described the brightline test legislation as “incoherent” and rather than capture speculators it will capture those who are forced to sell their properties within 2 years including those who are involved in mortgagee sales?Hon PAUL GOLDSMITH: The brightline test exempts the sale of the person’s main home and it also exempts inherited properties and properties transferred under the Property (Relationships) Act and we believe that is an appropriate arrangement.Grant Robertson: I raise a point of order Mr Speaker. I do not believe that did address the question that I asked.Mr SPEAKER: No I think in this case it definitely does. The question asked effectively why Mr Tomlinson was wrong. That gave a very wide ambit for the Minister to respond.Grant Robertson: Supplementary question—Hon Gerry Brownlee: Ask your own question. Stop asking other people’s questions.Grant Robertson: How about you answer Gerry? How about that? That would be—Mr SPEAKER: Order! Grant Robertson supplementary question.Grant Robertson: Why was Peter Vial New Zealand leader at Chartered Accountants Australia and New Zealand also wrong when he described the brightline test legislation as “not sound tax policy” “arbitrary” “unfair” and “blunt”?Hon PAUL GOLDSMITH: I am sure there are wide varieties of views on all tax legislation brought before the House and that is his opinion. But the point I would make is that the member has a habit of complaining endlessly about a problem—in this case housing affordability—and he also complains endlessly about any efforts to do anything about the problem. This Government is concerned about getting on with the problem.Hon Gerry Brownlee: Does the Minister consider it strange that a party that is proposing a capital gains tax is now mounting an attack against a capital gains tax on behalf of those who do not like the capital gains tax?Mr SPEAKER: Order! There is no ministerial responsibility there whatsoever. [Interruption] Order! I have not called the member yet. [Interruption] Order!Grant Robertson: Why was David Snell executive director at Government administration Ernst and Young wrong when he said that the brightline test legislation was “unclear” and “overly complex” and that as someone who does tax accounting for a living he found himself “professionally confused” by the Government’s approach?Hon PAUL GOLDSMITH: I cannot explain why that particular gentleman is professionally confused but I would say that the brightline test will catch property speculators who buy and sell property quickly. That is the object. It will help to ensure that property speculators pay their fair share of tax and I am surprised that the member’s party is not supporting that.Grant Robertson: In light of that answer is it correct that Treasury advised Ministers that a short brightline test of less than 5 years would be easily planned around and would not work and that there should not be retrospective legislation—both of which are pieces of advice that the Government ignored?Hon PAUL GOLDSMITH: The point I would make in relation to that is that property speculators should already be caught under the current tax rules for land sales and the brightline test primarily serves to make sure that there is no uncertainty as to what the intention is of the property developer.Grant Robertson: I raise a point of order Mr Speaker. My question asked—Mr SPEAKER: Order! I am going to allow the member to repeat that question. I do not think it was addressed.Grant Robertson: Is it correct that Treasury—Hon Gerry Brownlee: I raise a point of order Mr Speaker.Mr SPEAKER: Order! I hope the member is not at all questioning a decision I have just made because that would be very serious.Hon Gerry Brownlee: Well I do not mean to challenge you in any way at all—Mr SPEAKER: Well then I would advise the member to resume his seat.Hon Gerry Brownlee: Well then all I would say is that Mr Robertson always says that his question is not answered properly. The Minister on that occasion did point out to him that there was an opinion.Mr SPEAKER: I think the member is on dangerous ground. There are—[Interruption] No I do not need any assistance—Grant Robertson: No I am not—I am going to ask—Mr SPEAKER: Order! Grant Robertson has twice in this question asked whether his question had been addressed. I warned him on the first occasion that it was. On the second occasion I listened very carefully to the answer. I acknowledged that I might have missed something. I did not believe it was addressed. That is the end of the matter. I am allowing the member to ask the question again.Grant Robertson: Is it correct that Treasury advised Ministers that a short brightline test of less than 5 years would be easily planned around and would not work and that there should not be retrospective legislation—both of which are pieces of advice that the Government ignored?Hon PAUL GOLDSMITH: I do not have that information in front of me.Grant Robertson: Is it not the truth that rather than Treasury the Law Society the Chartered Accountants of Australia and New Zealand Ernst and Young KPMG and Chapman Tripp all being wrong the brightline test is in fact deeply flawed because it was a rushed last-minute political response to the very real problem of housing speculation which the Government has totally failed to address?Hon PAUL GOLDSMITH: No I do not agree with that assessment of the situation at all. What the brightline test is about is this Government rapidly addressing a very important issue that is of great importance to particularly Aucklanders who are concerned about housing speculation. And I am surprised that that party is not supporting us in this effort.