Jacinda Ardern sets record straight on CGT after Kelvin Davis sows confusion

Labour leader Jacinda Ardern has pulled her deputy into line after he suggested Labour would hold off implementing a capital gains tax until its second term in power.

Asked Friday morning on The AM Show when Labour would implement new capital gains taxes, Kelvin Davis said: "My understanding is that we'll campaign on it in the next election."

But he later said he didn't know if that was actually the plan.

"Right now I don't know. We're going to have the tax working group make their decisions and we'll come to the country with whatever they produce."

Ms Ardern told Newshub later on Friday that a Labour government would be free to implement the recommendations of the tax review, including any recommendations on new capital gains taxes - with the exception of the family home.

"I've spoken with Kelvin. I didn't see the piece so I'm not sure what exactly was said, but I'm very clear on our position. He's certainly now very clear on our position.

"I've absolutely maintained our right and my right as leader to make sure that when that tax working group reports back I'm able to act in Government in the best interests of New Zealand to act on the housing crisis."

Until the tax review group reports back, Ms Ardern won't tell voters whether or not a capital gains tax would be applied to farms or small businesses under a Labour government.

"My view is that voters still get a way to feed back to us whether they think we're right or not.

"There will be another election probably within 18 months of acting on that review, and if they don't agree with what we've done, I'm sure they'll tell us that."