The New Zealand budget for fiscal year 2010-2011 was presented to the New Zealand House of Representatives by Finance Minister Bill English on 20 May 2010.[2]
 | |
| Submitted by | Bill English |
|---|---|
| Parliament | Parliament of New Zealand |
| Party | National |
| Total revenue |  $56.4 billion[1] |
| Total expenditures | $64.8 billion[1] |
| Deficit |  -$6.9 billion[1] |
| Debt | $26.6 billion (Net)[1] 14.1% (Net debt to GDP)[1] |
| ǂNumbers in italics are projections.
‹ 2009 2011› | |
This was the second budget Bill English has presented as Minister of Finance.
Outline
editTax changes
editThe main feature of the 2010 Budget[3] was a tax package that lowered income taxes, reduced the company tax rate to 28%, and raised GST to 15%. There were increases to Superannuation, Working for Families and Benefits to compensate for the GST increase.
New income tax rates from 2010 are:[4]
| Taxable income band | Old PAYE (1 April 2010 – 30 September 2010) |
New PAYE (from 1 October 2010) |
|---|---|---|
| $0 – $14,000 | 12.5% | 10.5% |
| $14,001 – $48,000 | 21% | 17.5% |
| $48,0001 – $70,000 | 33% | 30% |
| $70,001+ | 38% | 33% |
Depreciation on buildings with a life exceeding 50 years was removed, resulting in an increase of tax paid on property, and Loss Attributing Qualifying Companies were abolished and replaced with Look-through company, subject to much tighter rules.
The 2010 Budget included new spending of $1.8 billion in health, education, research and broadband rollout.
The Budget forecast a return to fiscal surplus in 2016.
References
edit- ^ a b c d e "Minister's Executive Summary" (PDF). New Zealand Treasury. 20 May 2010. Archived from the original (PDF) on 17 June 2016. Retrieved 20 March 2015.
- ^ "Budget 2010". New Zealand Treasury. 20 May 2010. Retrieved 18 March 2015.
- ^ "Budget 2010 home page". The Beehive. 20 May 2010. Retrieved 18 March 2015.
- ^ "Personal tax cuts". Inland Revenue Department. 1 October 2010. Archived from the original on 29 January 2019. Retrieved 18 March 2015.