Less than 24 hours after Revenue Minister Peter Dunne's
carpark tax was dumped, his proposed "iPad tax"on work
smartphones laptops and tablets is also now dead in the
water, according to Prime Minister John Key.
"I think there's virtually no chance of it going ahead", Mr
Key told reporters this afternoon.
Mr Key's comment follows remarks from Mr Dunne that he
expected stronger opposition to the tax than the proposed tax
on inner city employer- provided carparks.
Mr Key said the laptop tax was "a nice idea when it comes to
tax policy, but a pain in the neck for everyone that has to
put up with it".
Mr Key's comments continue a bruising week for Mr Dunne who
announced the backdown on the carpark tax yesterday afternoon
just hours after defending it on the grounds of fairness.
Employer groups, unions and others who opposed the carpark
tax through the FBT Action Group estimated the it would set
back businesses to the tune of about $30 million in
compliance costs for revenue of just $17 million a year.
But Mr Key yesterday said advice from officials was that
compliance costs would be just a 10th of what the group
"Not $30 million, maybe $3 million, but what the officials
said was that it's very subjective, so it could be a bit
more, it's hard for them to absolutely know.
But the Employers and Manufacturers Association which led the
charge against that tax said it would also campaign against
the cellphone and laptop tax.
Labour's revenue spokesman David Cunliffe said the compliance
cost relative to the amount that could be raised through the
laptop and phone tax was likely to be higher than the
compliance cost of the carpark tax.