Politics 🗳️ NZ Politics

[wizard of Tauranga]

Buying investment properties is not risk taking. There is a bipartisan agreement that house prizes will always rise.

Right now people aren’t buying investment property because there is the risk the Greens/ Labour will get in and kill the whole market like they did last time.

It is risk taking atm and we’re all paying for it in higher rent and not enough houses for all the immigrants.

 

[Noitall]

Link to this please. Quite keen to see the stats on the brightest and hard working

Number of people leaving New Zealand hits 'highest on record'

The number of people heading off to live elsewhere reached its highest on record last year, according to new figures.

www.1news.co.nz

This was 4 months ago of people leaving in record numbers. Not sure of recent figures or whether they were the brightest and hardest working?

 

[miket12]

Capital Gains Tax!

Which is still a vested interest by installing a tax which won't affect a lot of them.

 

[Worried2Death]

It is risk taking atm and we’re all paying for it in higher rent and not enough houses for all the immigrants.

I thought everyone was leaving, shouldn't there be plenty of houses after the great exodus? What's the import/export balance

 

[wizard of Tauranga]

I thought everyone was leaving, shouldn't there be plenty of houses after the great exodus? What's the import/export balance

Catch up!

Our 70,000 of our young, best and brightest are leaving and being replaced by $100,000 taxi drivers with a doctorate degree.

 

[Garry Saloon]

Right now people aren’t buying investment property because there is the risk the Greens/ Labour will get in and kill the whole market like they did last time.

It is risk taking atm and we’re all paying for it in higher rent and not enough houses for all the immigrants.

Have a look at the housing market here

https://www.globalpropertyguide.com/pacific/new-zealand/home-price-trends

Price changes are clearly best explained by the reserve bank anticipating economic catastrophe with covid and slashing interest rates, then freaking out about inflation and hiking interest rates, which we're still in the hangover of. Prior to Covid house prices were doing just about he same as they always do.

 

[Worried2Death]

Catch up!

Our young, best and brightest are leaving and being replaced by taxi drivers with a doctorate degree.

Lot of our doctors are leaving for better pay/conditions, we can't replace them fast enough

 

[Inruin]

Number of people leaving New Zealand hits 'highest on record'

The number of people heading off to live elsewhere reached its highest on record last year, according to new figures.

www.1news.co.nz

This was 4 months ago of people leaving in record numbers. Not sure of recent figures or whether they were the brightest and hardest working?

Yup, easier narrative to say it's the best and brightest and hardest working. Also probably forgetting that we have just come out of years of a pandemic where no one was doing their OEs and now are catching up.

 

[wizard of Tauranga]

Yup, easier narrative to say it's the best and brightest and hardest working. Also probably forgetting that we have just come out of years of a pandemic where no one was doing their OEs and now are catching up.

I’m picking 80% of people leaving for Australia are recent immigrants coming through NZ as a back door into Aussie.

I have no stats to back this up, just anecdotal evidence.

Of course there are still born and bred kiwis going as well but feel they are the minority.

 

[MaybeTop8]

The flight from wealth tax claim is debatable at best.

Wealth tax: the debate continues

www.taxjournal.com

BTW Paedo app? I disagree with you man. Didn't take you for a conspiracy theorist.

Yep unfortunately.

 

[MaybeTop8]

I thought everyone was leaving, shouldn't there be plenty of houses after the great exodus? What's the import/export balance

They've been bought up by uber landlords seeking to dodge tax - okay, I should add a smiley face but it's probably true (I'm starting to sound like wiz)

‘Hollowing out’: New Zealand grapples with an uncertain future as record numbers leave

Surge of departures – mostly fleeing a weak economy – fuels concern over the longer-term impact on the country as some small towns scramble for survival

www.theguardian.com

‘It felt like bad news after bad news’: why record numbers are leaving New Zealand

Many young people are lured by hopes of better opportunities in Australia as experts worry a soft economy means departing Kiwis may not come back

www.theguardian.com

 

[Worried2Death]

They've been bought up by uber landlords seeking to dodge tax

Those uber drivers with PhD's must be buying them all, typical

 

[Noitall]

I’m picking 80% of people leaving for Australia are recent immigrants coming through NZ as a back door into Aussie.

I have no stats to back this up, just anecdotal evidence.

Of course there are still born and bred kiwis going as well but feel they are the minority.

Why New Zealanders are migrating to Australia in record numbers

The government may not be able to reverse the trend, which one Kiwi describes as abandoning “a sinking boat”.

www.smh.com.au

Here’s a reasonable explanation. NZ just can’t compete with what Australia can offer in wages and a way of life that’s a draw for some. Many often return later in life but unfortunately we’ve missed what they contribute to our economy in their working careers

 

[MrFrankWhite]

The flight from wealth tax claim is debatable at best.

Wealth tax: the debate continues

www.taxjournal.com

BTW Paedo app? I disagree with you man. Didn't take you for a conspiracy theorist.

its kind of a joke. but they did have a problem with CSAM but that comes with a massive influx of users who then spotted the weak moderation.

As for "conspiracy theorist" everyone with an IQ over 90 believes in a couple.

 

[MrFrankWhite]

I was only able to get into this house because of intergenerational wealth. I work about as hard as the next guy in my job, and do good things in the community when I can. My wealth, such as it is, is not particularly deserved, and is not the product of especially hard work. My story is standard.

Then someone your family worked hard enough or got lucky enough to cover for you. Which makes it entirely deserved.

 

[Worried2Death]

Then someone your family worked hard enough or got lucky enough to cover for you. Which makes it entirely deserved.

How does that make it deserved

 

[MrFrankWhite]

@Garry Saloon also your wealth tax data is from 2023, mine is from 2 months ago.

 

[John Nick]

Why New Zealanders are migrating to Australia in record numbers

The government may not be able to reverse the trend, which one Kiwi describes as abandoning “a sinking boat”.

www.smh.com.au

Here’s a reasonable explanation. NZ just can’t compete with what Australia can offer in wages and a way of life that’s a draw for some. Many often return later in life but unfortunately we’ve missed what they contribute to our economy in their working careers

I am one who returned from Oz after 23 years and only because my parents were struggling with health issues.
I was in business over there and started again with a business on my return.
Been a good earner for me until the last 6 months and now I am finding most of my clients are struggling.
E.G. Down approximately 45% since Christmas.
Don't know were these green shoots are that government keeps banging on about

 

[MrFrankWhite]

How does that make it deserved

If you and i go to dinner and I pay for your meal, do you deserve to eat it?

What if I pay for you and your wife to go and eat next week?

 

[miket12]

The flight from wealth tax claim is debatable at best.

Wealth tax: the debate continues

www.taxjournal.com

BTW Paedo app? I disagree with you man. Didn't take you for a conspiracy theorist.

The problem with a wealth tax is that the perception is that if it's set to low, those who are required to pay it start to feel that they are being "unfairly targeted" and, once that happens, the amount of tax avoidance/tax evasion starts to increase. In 1983, the highest tax rate was 67% and it dropped down in 1984 to 33% by the Labour Government..... yet, the amount of personal tax paid to the government increased. Why? Because more of those trying to avoid paying tax stopped "hiding" their income as they felt the tax system was fairer.

A wealth tax is designed to provide money to the government quickly while a CGT is long term in that tax is only realised when something is sold. Even if the "wealth flight" doesn't lead to wealthy people leaving the country, they will look at ways to transfer their wealth out of here or put their money into riskier investments. Why? Because if inflation was 3% and a managed fund had a 4% return, a 2% wealth tax means their wealth is reducing 1% PA while those not subject to the wealth tax a still making a slight inflation adjusted return.

I'd suggest there would be a lot of money turned into crypto currencies to be sold overseas and reinvested into assets in tax havens.

Personally, I feel sorry for FHB who will have their deposits decimated if a CGT is introduced. Most of the increase in returns on a KiwiSaver Growth fund is currently untaxed gains on the capital increases in share values as they are primarily made up of growth assets such as shares and not income assets such as interest.

In my opinion, one of the only areas the Greens have right in their alternative budget is the desire to introduce an inheritance tax (should also be in conjunction with a Gift Duty) to help reduce the transfer of intergenerational wealth.