Company Tax Rates

Alasdair Thompson of the EMA makes the case for lower tax rates (and interest rates).

He points out that Australia has a lower tax rate than NZ, yet their company tax take is higher – 5.3% of GDP compared to 4.7% for NZ. Ireland is another example of how lowering company tax rates can increase overall income.

He also makes the point that the higher both tax and interest rates are, the more risk averse business wil be at investing in productivity-enhancing technology and research & development.