24 April, 2018
Hon Sir Michael Cullen,
The Tax Working Group Secretariat
PO Box 3724
Dear Hon Sir Michael Cullen, cc. All members of The Tax Working Group. ALL MP’s.
Re: JOHN PHILLIPS’ SUBMISSION TO THE TAX WORKING GROUP: WHY THE FOREIGN BANKERS’ RORT OF THE NZ ECONOMY MUST BE URGENTLY REFORMED TO MAKE THE TAX SYSTEM FAIRER
Thank you for giving me the opportunity to make a submission in the desire, as you and your colleagues aptly say, “to help make the New Zealand tax system fairer,” more balanced and equitable for all New Zealanders. The ATTACHMENT to this email includes my submission to The Tax Working Group. I apologise for its long length at 75 pages, but believe me, I have tried to be as brief as possible. However, it is dealing with a very complex, controversial subject which urgently needs to be confronted by our government and nation, which hasn’t up to date, and without the historical background information it is simply impossible to even begin to understand what I am writing about.
All this errant nonsense and mindless talk in some quarters currently about proposals to tax better off New Zealanders much more by introducing oppressive land taxes or capital gains taxes to supposedly make the tax system “fairer” is simply an affront to anyone of average intelligence – while in just the past year alone, our ‘big four’ foreign-owned Australian banks (which are not even owned by Australians) – have obscenely generated over NZ$5 billion in after tax profits and repatriated most of them out of the country to their parent banks in Australia, that have then remitted them on to their ultimate foreign shareholders in the US and Europe.
Put in perspective, in just 1 year (2017) alone, these duplicitous four foreign-owned banking economic bloodsuckers, have leeched out of the New Zealand economy and absconded with profits overseas, the equivalent value of about FIVE TIMES the current value of KiwiRail’s assets ([NZ$1.114.2 million] – (which includes over 4,000 kms of railway track throughout the whole country, 1656 bridges, 18,000 hectares of land managed, 198 mainline locomotives, 4,585 freight wagons, two owned and one leased inter-islander Cook Straight ferries). An entire national railway system that has taken over 150 years to build throughout our entire country!!!
This outrageous banking rort of our national economy is the REAL REASON why poverty is rising rapidly in New Zealand at the present, and it has nothing to do with a few better off NZ citizens supposedly needing to be taxed more by implementing land or capital gains tax or any other tax for that matter.
This whole, scandalous, foreign international banker massive rort of the New Zealand economy at present is a national disgrace and it must urgently be addressed and confronted by our Government.
That is what my submission is all about. I hope I have made myself clear, provided enough factual evidence to prove my case, and proffered some realistic, workable solutions how to satisfactorily resolve these rapidly growing, deep-seated, profound, serious economic problems with our economy and tax system.
John D. Phillips