The tax plan also included a 1.5 per cent tax on trust assets, and an increase in the top rate of income tax from 39 per cent to 45 per cent paid on income over $180,000. The party hiked other income taxes too, although these are paired with income tax cuts at the lower end of the scale. The 33 per cent tax rate would be hiked to 35 per cent, although the threshold for paying that rate would be $75,000, rather than $70,000 as currently. The party would drop the 39 per cent threshold to income earned above $120,000, meaning far more income earners would begin paying it. The party took a leaf from National’s tax policy and hiked the other income tax thresholds, which would deliver a tax cut to people on lower incomes.

Source: New Zealand Herald June 11, 2023 03:41 UTC