Inland Revenue - Tax policy Tax Policy

News and information about the Government's tax policy work programme, including:
- proposed changes to the laws that Inland Revenue is responsible for
- updates on the progress of bills through Parliament
- policy announcements

Welfare Expert Advisory Group report released

3 May 2019

The Welfare Expert Advisory Group report was released today by Social development Minister, Carmel Sepuloni. The report contains 42 recommendations for improving the welfare system, including:

- increasing rates of benefit payment;

- increasing Family Tax Credit rates;

- replacing the In-Work Tax Credit and the Independent Earner Tax Credit with a new tax credit (referred to as an Earned Income Tax Credit);

- removing the 30 hours maximum work rule for the Jobseeker Support payment, which would mean the Minimum Family Tax Credit would no longer be required, and could be repealed;

- repealing the Child Tax Credit;

- making the Best Start Tax Credit universal for first three years of children's lives;

- aligning core eligibility definitions across welfare agencies, and also align debt prevention, fraud practices and debt collection practices across government;

- improving employment support services and active labour market policies;

- improving financial support for housing, alongside increasing the supply of housing and improving its affordability;

- indexation of payments to reflect wage movements; and

- changes to the culture of Work and Income.

For details of the announcement see the Minister’s press releaseWEAG's report with the full set of recommendations, and Cabinet papers.