New Zealand Budget To Be Announced In May

by Mary Swire, Tax-News.com, Hong Kong

19 February 2008

Michael Cullen has announced that he will deliver his ninth Budget as New Zealand's Finance Minister on 22nd May, 2008.

In a statement released last week, Cullen announced that the upcoming budget will feature a programme of personal tax cuts, but made no mention of any proposed cuts in corporate tax or other business taxes.

“Budget 2008 will build on our success and take us towards a more prosperous and sustainable economy. It will invest in productivity, in innovation, in the strength of our communities and families, and in protecting our environment," Cullen stated.

He continued:

“Budget 2008 will include a programme of personal tax cuts, building on the NZD4 billion a year in tax relief for families, businesses, and savers that will be in place from 1 April.

“But in 2008, our economy faces considerable uncertainties. The downturn in the US economy is serious, global food and transport prices are rising quickly, our farmers are battling drought, and share markets have lost significant values."

“Budget 2008 will be a Budget that takes these uncertainties seriously."

Cullen concluded:

“It will show once again that it is Labour in government that can be trusted to manage our economy in difficult times, and it will show that we are serious about delivering even greater prosperity for New Zealanders.”

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