Hayes John: Supplementary Estimates Taxation (Livestock Valuation Assets Expenditure and Remedial Matters) Bill — Second ReadingText is incorporated into the Bound VolumeHayes John: Supplementary Estimates Taxation (Livestock Valuation Assets Expenditure and Remedial Matters) Bill — Second Reading[Sitting date: 26 June 2013. Volume:691;Page:11351. Text is incorporated into the Bound Volume.]Supplementary EstimatesJOHN HAYES (National—Wairarapa):It is an interesting night to be here in the House debating this bill the Taxation (Livestock Valuation Assets Expenditure and Remedial Matters) Bill because looking across the Chamber the phones are clicking away frantically as people are realising that there has been a leadership spill across the Tasman in Australia and we now have a new Prime Minister—K-Rudd—in Australia and I wish him the very best for his 100 days in office. You can see these Labour people looking at the polls clicking at what is going on in Australia and you can feel change coming on the other side of the House.Hon Simon Bridges: He reminds me of Cunliffe.JOHN HAYES: That is why Mr Cunliffe got up and spoke tonight and said absolutely nothing in 10 minutes. What he was trying to do—The ASSISTANT SPEAKER (H V Ross Robertson): Order! The tax bill.JOHN HAYES: —was to talk about issues that we discussed at the Finance and Expenditure Committee and that he did not have problems with at that point. It is interesting also to reflect on the comments this evening from Andrew Williams who I do not think attended any of our select committees. It was always his leader Winston Peters who made a very strong contribution to our work and it is very good to see New Zealand First supporting this legislation.This legislation underpins one of the Government’s four priorities for this term which is building a more competitive and productive economy. That is what Julia Gillard did not do. It is only by lifting New Zealand’s economic performance that we can create jobs boost incomes improve living standards and provide the world-class public services that New Zealand families need. The centrepiece of the Budget in 2010 was a major tax package reforming the tax system to make it fairer more sustainable and a better support for economic growth. That is why I really strongly support this bill.I would just like to quickly touch on the fact that this bill continues the Government’s focus on ensuring everybody pays their fair share of tax while at the same time we continue to support the economy. This bill is a bill that focuses on helping businesses. It is important to the Government that New Zealand businesses are supported in becoming more competitive against the rest of the world which is why this economy is heading north and many other economies are heading south. Our current GST laws can present an obstacle and to that end we need to address this—and the bill does it—so that we can stay globally competitive. GST is a tax on consumption not a tax on business and it has got to be neutral for both resident and non-resident businesses. This bill allows non-resident businesses to register for and claim back GST in a broadly similar way to companies operating here in New Zealand.I think that this other issue around GST is the issue affecting global trade which will be resolved in the bill. Where a New Zealand - resident manufacturer charges an overseas customer for the creation or modification of tools required to produce specific export products a new rule is proposed in this legislation that will allow these tooling costs to be zero rated for GST. It also confirms that farmers’ riparian rights to planting are immediately deductible and that will be very helpful to farmers in the Wairarapa. With those few comments I support this bill unreservedly.