According to John Key the tax cuts are an effort to keep key people, including nurses, in NZ.
“But … those who pay the top personal rate fit into some core and critical categories for our economy. They include doctors, entrepreneurs, scientists, engineers, lawyers, accountants, school principals, nurses,” he said.
The top rate kicks in on income above $70,000.
“On Thursday [you will see] a deliberate attempt to make sure those people stay and put their skills to work here in our economy,” Mr Key said.
At December last year the average salary for a registered nurse with 5 years expereince was $60,000 pa.
The table below is from the Dominion Post this morning:
Annual pay Weekly tax cut Likely extra GST Extra per week
$10,000 $3.85 $3.00 85c
$26,520 $10.20 $6.00 $4.20
$50,000 $18.50 $12.00 $6.50
$70,000 $18.50 $18.00 50c
$100,000 $48.65 $24.00 $24.65
$500,000 $481.00 $120–180 $300–$360
Those tax cuts are sure to improve our health and education systems – yeah right.