Green Party looks to small, medium business sector for support

Russel Norman
Russel Norman
The Green Party is looking to the small and medium-sized enterprise (SME) sector for late support as the election campaign draws to a close.

Party co-leader Russel Norman is promising simplified tax compliances for small businesses as one of several measures for SMEs.

"Small businesses with small annual turnovers spend a lot of time and money on tax compliance.

We plan to give these small businesses the option of paying their taxes on a simplified cash basis on their GST returns."

For smaller businesses, company tax could be based on turnover, he said.

The proposals would not look out of line with a National Party tax incentive for SMEs and adds to the options the Greens could take to Prime Minister John Key next week if National retains power in Saturday's election.

The Greens have ruled out a coalition with National but have indicated they are open to an arrangement where support is given in some areas in exchange for the adoption of some Green Party policies.

The proposals released yesterday were broadly in line with those proposed by the New Zealand Institute of Chartered Accountants and could reduce tax compliance costs by up to a third.

Simplifying tax compliance was one of several Green Party policies designed specifically to support SMEs, Dr Norman said.

"The performance of the SME sector is a critical component of a green economy."

To strengthen the domestic market for green innovation, the Green Party would rewrite government procurement and certification processes to favour New Zealand-made environmentally sustainable goods and services, he said.

By "greening" government procurement policies, local SMEs would face incentives to rapidly innovate to secure lucrative government contracts. Once secured, those SMEs would have a base from which to export their same clean technology solutions overseas.

The Greens would supplement the green government procurement policies with a $100 million start-up capital fund for clean technology SMEs and community enterprises, and boost central government funding of research and development by $1 billion over the next three years, Dr Norman said.

The plans were fully costed and would create thousands of new green jobs as the country moved to a more resilient and sustainable economy, he said.

 

 

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