M.P. wants 'positive' talks on tax reform

Press, 14 April 1982, Page 6

M.P. wants 'positive' talks on tax reform

PA Wellington The National member of Parliament for Taupo. Mr R. N. McLay, has called for “positive” Parliamentary discussion on tax reform.’ In his wide-ranging maiden speech last evening, Mr McLay said the report of the McCaw task group on tax reform, presented last week and made public yesterday, should be met with a "positive expression of opinion" from both sides of the House. "There could be no easy options. What will be acceptable to one group will not .necessarily be so to another," said Mr McLay. But he hoped that the debate would see a free exchange of informed opinion and “a contribution which the citizens of our electorates will see as being constructive.” Mr McLay made it clear the Government wanted a more equitable tax system. He gave a reassurance the Government would not change the superannuation

scheme, defended the supplementary minimum price scheme and the growth strategy, advocated harsher penalties for serious offences. and independent tribunals to settle relativity disputes. He also expressed total opposition to the concept of a capital gains tax. saying the economy would not be able to withstand the introduction of such a tax. The Government should also continue to increase the exemption on death duties in accordance with property price rises. Mr McLay said the Government would not renege on its policies and promises concerning superannuation. The rights and well-being of superannuitants should remain high on any government’s list of priorities. He said the philosophy of the "think big” growth strategy was “very established and very sound.” The growth strategy was insurance against reduced oil imports, and the sooner New

Zealand invested. the cheaper the premium and great the eventual rewards, said Mr McLay. He also defended the S.M.P. scheme, saying its payments would equal less than a 2.5 per cent wage increase across the board and would go to an industry which contributed 70 per cent of New Zealand’s total income. Mr McLay called extreme Left-wing elements of the Kinleith paper mill the “lepers of New Zealand society" in his discussion on industrial relations. “They aim to bring about the ruination of our society," he said. Mr McLay suggested more serious thinking should be applied toward imposing minimum penalties for the most serious of crimes. "Those who indulge in drug trafficking or reduce themselves to rape offences may well be deserving of more stringent minimum penalties." he said.