Average Kiwi pays over $1 million in tax over their lifetime
The Taxpayers’ Union have done a great report calculating the average tax paid by the average New Zealander over their lifetime. The details are:
- Income Tax $649,000
- GST $291,000
- Rates $67,000
- ACC $40,000
- Fuel tax $21,000
- Alcohol tax $11,000
- Fire levies $10,000
- Tobacco tax $7,000
This is highly progressive. Someone who is in the bottom decile or 10% of income earners will pay $33,000 in lifetime tax while someone in the top decile will pay $4,287,000 in lifetime tax. Remember that when people claim our tax system is not progressive enough!