/ Scare mongering to Labor’s Capital Gains Tax

*PRESS RELEASE: SUE HENRY SPOKESPERSON HOUSING LOBBY **15 July 2011***

The Housing Lobby condemns scare mongering to Labor’s Capital Gains Tax and Housing Minister Phil Heatley’s proposal to drop income-related rents”

**** The Housing Lobby wishes to reiterate that the proposal of a capital gains tax is a step in the right direction to correct the continual structural imbalance,” says Housing Lobby Spokesperson Sue Henry.

We do hope that New Zealanders can see through the misinformation and scare mongering tactics being employed by vested interests, pushing the 'politics of greed', who have a lot to lose from this proposal.”

This week sensible ‘investment insight’ commentators have recognised that since February 2011 housing loans have risen another $3 billion to $172 billion. (eg: Bernard Hickey Sunday Herald 10 July 2011

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=10737444

This substantial tax-free capital gain falsely over-inflates house prices shutting out home buyers and renters alike.

With the combination of foreign debt and overseas interests jumping on the gravy train, because New Zealand is looked upon as a ‘goldmine’ with no stamp duty, no capital gains tax and no limit on foreign investment, this will lead to dire consequences for the majority of people in this country.

What will be another compounding factor for tenants looking for rental accommodation is Housing Minister Phil Heatley’s admission that income-related rents are set to go* concluded Ms Henry .

* Eastern Bays Courier Wednesday 13 July 2011“State Housing Applicants Prioritised” Esther Lauaki).

Sue Henry Spokesperson Housing Lobby

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