14/04/2026
A fun fact to start the day: New Zealand's wealthiest families pay an effective tax rate of 9.4% on their economic income, while middle-class wage earners pay around 20% (Inland Revenue 2023). We think about this quite a lot.
Overall, it's clear our tax system isn't fit for the challenges ahead: it leans too heavily on income tax and GST, does almost nothing to ensure the wealthiest make a fair contribution, and could make better use of remedial taxes to drive positive behaviours. All the while inequality deepens and home ownership remains out of reach for so many. Not to mention the negative impact on our living world.
So you can imagine how we feel about the bold, evidence-based Tax Policy Statement Tax Justice Aotearoa and Better taxes for a Better Future has released today. It's exactly the kind of serious, detailed thinking needed, rich in evidence and full of concrete pathways forward!
If there's just one thing we'd leave you with: extreme concentrations of wealth destabilise the whole economy, drive up asset prices, and household debt which all increase the risk of financial crises. A sensible approach to taxing wealth isn't only about fairness, it's about economic stability and resilience.
This report deserves to be read widely and debated seriously.
https://assets.nationbuilder.com/tja/pages/3281/attachments/original/1776134165/TJA_Tax_Policy_Statement.pdf?1776134165