Hayes John: Taxation (Annual Rates Returns Filing and Remedial Matters) Bill — Third Reading 
Text is incorporated into the Bound Volume 
Hayes John: Taxation (Annual Rates Returns Filing and Remedial Matters) Bill — Third Reading 
[Sitting date: 25 October 2012. Volume:685;Page:6250. Text is incorporated into the Bound Volume.] 
JOHN HAYES (National—Wairarapa) 
: 
 I would like to rise and say a few words on this excellent piece of legislation the Taxation (Annual Rates Returns Filing and Remedial Matters) Bill. It has been interesting as I have sat here in the House this week watching that last speaker David Cunliffe and his colleague Clayton Cosgrove doing the numbers. What are they doing the numbers for? Because they are going to have a go at Mr Shearer. They know that with their present leader they are not going to get across the line and they will not be able to implement this tax legislation bring in their capital gains tax and hammer the people. 
Did you notice what that last speaker did? He invented the word “smug”; he lives the life of “smug”. What did he do? He forgot to talk about that wonderful leader. Yes he mentioned Lange he mentioned Kirk and he mentioned Clark—his mate Clark—but did he mention Nordmeyer? This country knows about Labour Party tax policies and you forgot to mention— 
Mr DEPUTY SPEAKER 
: Order! 
JOHN HAYES 
: —that un-smug man Mr Nordmeyer. The changes in this bill are in addition to the biggest tax reforms in 25 years which are helping families to get ahead. They are boosting growth they are creating jobs they are lifting incomes and they are encouraging savings. You know we lived through 9 years of that Government—9 long years of a Labour Government—and what was it doing? It was encouraging us to spend $1.10 or $1.11 for every $1 we earned. Suddenly we hit the wall and this Government has had to restructure the economy so that now we are in a situation where we are spending 97c or 98c of every $1 we earn. 
You have got to restructure the economy. Of course people are going to lose jobs. There are some businesses that are sunset industries and we need to get people into other industries like the IT industry like the film industry like the energy industry— 
Kris Faafoi 
: Speaking of energy— 
JOHN HAYES 
: —speaking of energy—and like lots of other businesses that are being developed in my electorate. That is where jobs are being created. And they are being created because we have built a competitive tax system. It is lifting the economy away from the borrowing and spending of the 9 years we had with those people and towards saving and investment. 
It is a simple fair tax system. It is going to reward hard work. It is going to protect the vulnerable. Across-the-board tax cuts are delivering more money to working New Zealanders. About three-quarters of earners are paying no more than 17.5 percent personal income tax. We cut company tax to 28 percent ensuring New Zealand businesses remain competitive. A husband and a wife with two children can earn up to $50000 a year and effectively pay no tax. 
 After-tax wages are increasing faster than prices under this National Government. If Labour were to be returned to power under the wonderful leadership of either Clayton Cosgrove or David Cunliffe the first thing we would see in this country is a capital gains tax on all businesses and farms which would penalise our productive industry. We would see a more than doubling of employer KiwiSaver costs. In fact I thought I heard Mr David Cunliffe say in the House this afternoon that Labour would actually increase KiwiSaver contributions by four times and we would see a big gap between the company rate and the top personal rate which would encourage tax avoidance. 
I absolutely support this bill. It is a good piece of legislation and we should vote on it immediately. Thank you.