3 Aug 2014

ACT wants to slash company tax rate

8:18 pm on 3 August 2014

The ACT Party is proposing to boost economic growth by a third with a plan to cut the company tax rate.

Jamie Whyte.

Jamie Whyte. Photo: RNZ

Under its economic policy just announced, ACT would slash the tax rate from 28 to 12.5 percent over five years.

ACT leader Jamie Whyte said cutting company tax would increase investment, jobs and GDP growth by a third, leading to higher wages.

He said the tax was a drag on growth and wages, and raised relatively little revenue.

Dr Whyte said ACT would fund the cut by getting rid of $1.5 billion of corporate welfare and carbon trading.

He said it would also attract more foreign capital to New Zealand.