IDEAS home Printed from https://ideas.repec.org/p/vuw/vuwcpf/21110.html
   My bibliography  Save this paper

What is happening to tax policy in New Zealand and is it sensible?

Author

Listed:
  • Gemmell, Norman

Abstract

This paper reviews two recent changes to tax policy settings in New Zealand: an increase in the top income tax rate and a ‘housing package’. It argues that both represent ad hoc responses without a coherent strategy. Further, government officials’ policy assessments confirm these were progressed unduly rapidly, based on limited analysis, and against official advice on the most suitable option to deliver on the government’s own objectives. This is likely to result in policy outcomes falling well short of objectives, and potentially serious unintended consequences. Coherence of the tax system in particular is at risk.

Suggested Citation

  • Gemmell, Norman, 2021. "What is happening to tax policy in New Zealand and is it sensible?," Working Paper Series 21110, Victoria University of Wellington, Chair in Public Finance.
    • Handle: RePEc:vuw:vuwcpf:21110
    as

    Download full text from publisher

    File URL: https://ir.wgtn.ac.nz/handle/123456789/21110
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Eric Hutton, 2017. "The Revenue Administration–Gap Analysis Program; Model and Methodology for Value-Added Tax Gap Estimation," IMF Technical Notes and Manuals 17/04, International Monetary Fund.
    2. Mr. Eric Hutton, 2017. "The Revenue Administration–Gap Analysis Program: Model and Methodology for Value-Added Tax Gap Estimation," IMF Technical Notes and Manuals 2017/004, International Monetary Fund.
    3. John Creedy, 2004. "The Excess Burden of Taxation," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 37(4), pages 454-464, December.
    4. Elizabeth Kendall, 2016. "New Zealand house prices: a historical perspective," Reserve Bank of New Zealand Bulletin, Reserve Bank of New Zealand, vol. 79, pages 1-14, January.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Gemmell, Norman, 2021. "What is happening to tax policy in New Zealand and is it sensible?," Working Paper Series 9464, Victoria University of Wellington, Chair in Public Finance.
    2. Gemmell, Norman, 2021. "Economic Lessons for Tax Policy Advisers," Working Paper Series 21109, Victoria University of Wellington, Chair in Public Finance.
    3. Gemmell, Norman, 2021. "Economic Lessons for Tax Policy Advisers," Working Paper Series 9463, Victoria University of Wellington, Chair in Public Finance.
    4. Francesco Berardini & Fabrizio Renzi, 2022. "Mind the Gap! The (unexpected) impact of COVID-19 pandemic on VAT revenue in Italy," Questioni di Economia e Finanza (Occasional Papers) 669, Bank of Italy, Economic Research and International Relations Area.
    5. Nafi Almuzani & Imam Fahcruddin & Antoni Arief Priadi & April Gunawan Malau, 2019. "Beyond Standard: Do The Marine Engineers Competence?," International Journal of Business and Social Research, LAR Center Press, vol. 9(5), pages 13-20, May.
    6. Ali-Yrkkö, Jyrki & Koski, Heli & Kässi, Otto & Pajarinen, Mika & Valkonen, Tarmo & Hokkanen, Marja & Hyvönen, Noora & Koivusalo, Elina & Laaksonen, Jarno & Laitinen, Juha & Nyström, Enni, 2020. "The Size of the Digital Economy in Finland and Its Impact on Taxation," ETLA Reports 106, The Research Institute of the Finnish Economy.
    7. Nafi Almuzani & Imam Fahcruddin & Antoni Arief Priadi & April Gunawan Malau, 2019. "Beyond Standard: Do The Marine Engineers Competence?," International Journal of Business and Social Research, MIR Center for Socio-Economic Research, vol. 9(5), pages 13-20, May.
    8. Robert Kelm, 2022. "Determinants of the VAT Gap in EU Member States from 2000 to 2016," Central European Journal of Economic Modelling and Econometrics, Central European Journal of Economic Modelling and Econometrics, vol. 14(4), pages 225-262, December.
    9. Serhan Cevik & Jan Gottschalk & Eric Hutton & Laura Jaramillo & Pooja Karnane & Mousse Sow, 2019. "Structural transformation and tax efficiency," International Finance, Wiley Blackwell, vol. 22(3), pages 341-379, December.
    10. Aleksandra L. Osmolovskaya-Suslina & Sofiia R. Borisova & Victoria A. Moskvina, 2021. "Integral Tax Collection Index as a New Approach to Assessing Tax Administration," Finansovyj žhurnal — Financial Journal, Financial Research Institute, Moscow 125375, Russia, issue 6, pages 54-80, December.
    11. Combey, Adama, 2020. "Evaluation De L’Ecart De Tva Au Togo [Evaluation Of The Vat Gap In Togo]," MPRA Paper 101478, University Library of Munich, Germany.
    12. John Creedy, 2004. "The Effects on New Zealand Households of an Increase in The Petrol Excise Tax," Treasury Working Paper Series 04/01, New Zealand Treasury.
    13. Christopher Ball & John Creedy & Grant Scobie, 2018. "The Timing of Income Tax Changes in the Face of Projected Debt Increases," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 51(2), pages 191-210, June.
    14. John Creedy, 2009. "Personal Income Taxation: From Theory to Policy," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 42(4), pages 496-506, December.
    15. Christopher Ball & John Creedy, 2014. "Tax policy with uncertain future costs: Some simple models," New Zealand Economic Papers, Taylor & Francis Journals, vol. 48(2), pages 240-253, August.
    16. Olga Filippova & Cuong Nguyen & Ilan Noy & Michael Rehm, 2020. "Who Cares? Future Sea Level Rise and House Prices," Land Economics, University of Wisconsin Press, vol. 96(2), pages 207-224.
    17. Olga Filippova & Cuong Nguyen & Ilan Noy & Michael Rehm, 2020. "Who Cares? Future Sea Level Rise and House Prices," Land Economics, University of Wisconsin Press, vol. 96(2), pages 207-224.
    18. John Creedy & Penny Mok, 2018. "The marginal welfare cost of personal income taxation in New Zealand," New Zealand Economic Papers, Taylor & Francis Journals, vol. 52(3), pages 323-338, September.
    19. Christopher Ball & Michael Ryan, 2014. "New Zealand households and the 2008/09 recession," New Zealand Economic Papers, Taylor & Francis Journals, vol. 48(1), pages 21-39, April.
    20. Christopher Ball & John Creedy, 2014. "Tax policy with uncertain future costs: Some simple models," New Zealand Economic Papers, Taylor & Francis Journals, vol. 48(2), pages 240-253, August.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:vuw:vuwcpf:21110. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Library Technology Services (email available below). General contact details of provider: https://edirc.repec.org/data/fcvuwnz.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.