The Green Party is proposing a windfall tax targeting excess profits. Under the windfall tax proposal, the money raised would then support people struggling with the cost-of-living crisis. A windfall tax is a high tax rate on a certain industry when it suddenly makes large profits due to something for which they were not responsible. Act leader and finance spokesman David Seymour previously told the Herald he thought an excess profits tax would not work. “For an excess profit tax to work, the state needs to know what is a reasonable return to the risk taker.

Source: New Zealand Herald October 30, 2022 18:31 UTC