Capital gains tax now, Greens demand

  • 17/09/2017
James Shaw.
James Shaw. Photo credit: File

The Green Party wants a capital gains tax in the next term of Government and will put that on the table in coalition negotiations with Labour, leader James Shaw says.

He told TVNZ's Q&A programme that was one of a number of key items the party wanted when he received Labour leader Jacinda Ardern's first call if she had the opportunity to form a Government after next weekend's election.

"In the same way that every coalition involves policies from both partners we've got to negotiate what a coalition agreement would look like but there are a couple of things that I think we would like to push them on - one is the area of a capital gains tax excluding the family home," he said.

"Because we do have a real sense of urgency around the housing crisis."

Mr Shaw's revelation came just days after Ms Ardern backed down on her captain's call to introduce a CGT in her first term if her tax working group suggested one. She went back to the party's former position to take the recommendations to the electorate.

The party's policy, released this week, includes a timeline for the tax working group - but not having any changes come into effect until April 2021, after the next election.

"The thing I pushed out is the time it takes effect because that then means I can balance both the urgency I feel with the feedback the public gave me," Ms Ardern said.

The party has faced weeks of attacks from National regarding its tax plans.

"We have heard the call for New Zealanders' voices to be heard. We will involve the public at every stage of the working group, as well as Cabinet and Parliament's consideration of any changes that arise from it," finance spokesman Grant Robertson said on Thursday.

But if Labour wants to form a coalition with New Zealand First, leader Winston Peters said a capital gains tax would need to be off the table.

"It's very clear, it's off the table. The two factors are it doesn't work and the second thing is there's no fairness if you haven't got capital losses consideration as well," Mr Peters told Q&A.

Some recent polls suggest Labour and the Greens will be able to form a coalition, while others 

NZN / Newshub.