Retailers aren't happy that the Government opted not to tackle the thorny issue of charging GST on overseas purchases. Photo / NZ Herald
Retailers aren't happy that the Government opted not to tackle the thorny issue of charging GST on overseas purchases. Photo / NZ Herald
Opinion by Liam Dann
Liam Dann, Business Editor at Large for New Zealand’s Herald, works as a writer, columnist, radio commentator and as a presenter and producer of videos and podcasts.
Financial plan’s only surprises settle Govt firmly in centre
What's in the Budget for business? Well, that's what we usually call our "Budget at a glance" graphic. This year we've opted for: What business needs to know.
Because frankly there aren't too many specifics in there for business.
There are certainly some interesting announcements - particularly if you includeall the policy released in the past few weeks.
ACC savings will be welcome. Moves to address property imbalances in the economy are also going to remain a strong talking point.
KiwiSaver changes, while logical, will annoy some in the finance and saving industry. The new border tax is likely to upset tourism and reassure agriculture in equal measures.
But for most in business, today will be business as usual.
There's a broad consensus that this is just fine.
The economy is still solid and consumer confidence strong but as it wavers on falling commodity prices it remains crucial for Bill English to be prudent with spending.
So it is fair to say expectations weren't high but in some sectors there will be grumbles about what wasn't in yesterday's document.
Retailers aren't happy that the Government opted not to tackle the thorny issue of charging GST on overseas purchases. Some in the small business sector were looking for targeted tax breaks and incentives.
What surprises there were involved social policy tweaks that have some on the Right calling it too far to the Left.
That won't hurt this Government, further positioning it towards the pragmatic, centrist position it has carved for itself. In the end the only thing that will hurt this Government is a faltering economy.
If commodities don't recover in the next few months then English will be facing a much sterner test this time next year.
