Bruce Bernacchi: Dentons Kensington Swan Partner and tax expert on Labour considering an inheritance tax

When Labour holds its next party conference at the end of the year, tax policy is likely to be near the top of its agenda.  Finance spokesperson Barbara Edmonds sent a strong signal in March that a comprehensive capital gains tax may be back on its table, questioning the fairness of the current tax system.  The Labour Party's understood to be considering whether to advocate for an inheritance tax, taking inspiration from an Irish model.  In Ireland, a 33% tax is applied to inheritance's worth more than NZ$558 thousand.  Dentons Kensington Swan Partner and tax expert Bruce Bernacchi told Kerre Woodham that he’s not surprised Labour is raising the idea of a comprehensive capital gains tax again.  He said that they campaigned on it in 2011 and 2014 and had the Tax Working Group in 2019 recommend it over a wealth or inheritance tax.  Bernacchi said that this is their opportunity to forge ahead with a coherent policy, introducing a capital gains tax that would raise money, people will understand, and it will be effective, instead of an extremely complex inheritance tax.  LISTEN ABOVE See omnystudio.com/listener for privacy information.