Those of us who keep an ear to proceedings in Parliament should have been left in no doubt this week about National’s policy position on a streaming tax. They are agin it.
Fair to say, they comprehensively laboured the point: after three days of hearing the PM and Paul Goldsmith banging on at Question Time about ruling it out of the National agenda, those listening would have been yearning to hear what they will be doing to improve our well-being rather than what they will not be doing.
The Nats were feeding (or gorging) off a Labour gaffe just as Labour had scored points off Prime Minister Christopher Luxon’s recent mention of a referendum on MMP before bewildered cabinet and caucus colleagues had heard about such a policy.
A streaming tax or levy would be a charge on major digital video platforms. Proponents argue it protects local culture and creates fair funding for domestic screen industries while opponents contend it raises living costs and functions as an unfair impost on household entertainment.
Labour’s broadcasting and media spokesperson, Reuben Davidson, declared in January that his party would seek advice on such a tax if elected.
National this month listed the proposal as one of 11 taxes it contends Labour will introduce if it forms a government after the November election.
But Labour leader Chris Hipkins last week confirmed to Stuff that his party was not campaigning on introducing a streaming levy.
He re-confirmed on Monday that Labour was not campaigning on a streaming levy.
But whoops: a member’s bill from Willie Jackson – the Broadcasting (Commercial Video On-Demand Levy) Amendment Bill – proposed to introduce one. The Bill remained on Parliament’s website until its withdrawal on Tuesday morning.
Hipkins said the party had made final decisions on the streaming tax “in the last few weeks,” but the bill had remained online due to an administrative oversight.
After the bill’s removal, Stuff reported:
“We became aware of it, it was dealt with,” he said.
And there we have it. Labour policy-makers once fancied the idea but have changed their minds.
That didn’t discourage the Nats from banging on in Parliament – day after day – about their opposition to a streaming tax.
The PM kicked things off a few hours after Hipkins had admitted the administrative folly on Tuesday.
The Hansard record that day tells us what transpired.
Question No. 1
Rt Hon CHRIS HIPKINS (Leader of the Opposition) (14:05) to the Prime Minister: Does he stand by all his Government’s statements and actions?
Rt Hon CHRISTOPHER LUXON (Prime Minister) (14:05): Yes, and in particular, our desire not to introduce a streaming tax.
A few minutes later he said voters knew they could trust him not to increase spending by 84 percent, drive inflation up to a 32-year high of 7.3 percent, have 12 to 13 interest rises, put an economy into slow-down, and have people lose their jobs.
They also can be reassured we won’t be doing a capital gains tax, we won’t be doing a digital services tax, we won’t be doing a business tax, a streaming tax, a ute tax, or, Willie, a land tax.
Paul Goldsmith fleshed out his party’s position several questions later.
Question No. 10
NANCY LU (National) (14:41) to the Minister for Media and Communications: Is he considering implementing a streaming tax?
Hon PAUL GOLDSMITH (Minister for Media and Communications) (14:41): No—no, I’m not. That is because New Zealanders do not need more taxes, and the people who tune in to Netflix, or whatever other streaming device they have, don’t need to be paying more taxes. The Government that keeps control of its spending doesn’t need to dream up new taxes every day.
And then the petty politicking…
Nancy Lu: Has he seen any recent proposals for a streaming tax?
Of course he had. Never mind Labour had reversed its position.
Hon PAUL GOLDSMITH: I have seen some recent proposals. In fact, the Government has been considering a member’s bill that has been before the Parliament, by Willie Jackson, proposing such a tax. We don’t agree with it—although I’m surprised because we can’t find that bill anymore this morning.
Next day, the Nats revisited the issue.
Question No. 2
Rt Hon CHRIS HIPKINS (Leader of the Opposition) (14:05) to the Prime Minister: Does he stand by all of his Government’s statements and actions?
Rt Hon CHRISTOPHER LUXON (Prime Minister) (14:05): Absolutely, and I just want to confirm for the member that this Government won’t be implementing a capital gains tax, a digital services tax, a business tax, a 45 percent top tax rate, an inheritance tax, gift tax, rentals tax, asset tax, land tax, streaming tax, or ute tax.
A bit later, it transpired that Vaness Weenink had not been listening when Goldsmith ruled out a streaming tax the previous day…
Question No. 9
Dr VANESSA WEENINK (National—Banks Peninsula) (14:34) to the Minister for Media and Communications: Is he considering implementing a streaming tax?
Hon PAUL GOLDSMITH (Minister for Media and Communications) (14:35): No.
In short – the Nats say they won’t be introducing a streaming tax.
Labour says it won’t be introducing a streaming tax.
Is there much point in going on?
Apparently yes.
Dr Vanessa Weenink: What would a streaming tax mean for New Zealand consumers?
Hon PAUL GOLDSMITH: Well, any tax imposed on streaming platforms would ultimately risk being passed onto consumers—the people who are trying to watch Netflix, or Apple TV, or whatever it is. The Government’s view is that New Zealanders pay enough tax already, and the last thing that we need is even more taxes, so that is why we’re not going to be adding to the pile of taxes that New Zealanders pay, and part of that is being careful about our spending and that means we don’t have so much tax.
And then (as if to her reaffirm she hadn’t been paying attention the previous day) …
Dr Vanessa Weenink: Has he seen any recent proposals for a streaming tax?
A streaming tax or levy would be a charge on major digital video platforms. Proponents argue it protects local culture and creates fair funding for domestic screen industries while opponents contend it raises living costs and functions as an unfair impost on household entertainment.
Labour’s broadcasting and media spokesperson, Reuben Davidson, declared in January that his party would seek advice on such a tax if elected.
National this month listed the proposal as one of 11 taxes it contends Labour will introduce if it forms a government after the November election.
But Labour leader Chris Hipkins last week confirmed to Stuff that his party was not campaigning on introducing a streaming levy.
He re-confirmed on Monday that Labour was not campaigning on a streaming levy.
But whoops: a member’s bill from Willie Jackson – the Broadcasting (Commercial Video On-Demand Levy) Amendment Bill – proposed to introduce one. The Bill remained on Parliament’s website until its withdrawal on Tuesday morning.
Hipkins said the party had made final decisions on the streaming tax “in the last few weeks,” but the bill had remained online due to an administrative oversight.
After the bill’s removal, Stuff reported:
“We became aware of it, it was dealt with,” he said.
And there we have it. Labour policy-makers once fancied the idea but have changed their minds.
That didn’t discourage the Nats from banging on in Parliament – day after day – about their opposition to a streaming tax.
The PM kicked things off a few hours after Hipkins had admitted the administrative folly on Tuesday.
The Hansard record that day tells us what transpired.
Question No. 1
Rt Hon CHRIS HIPKINS (Leader of the Opposition) (14:05) to the Prime Minister: Does he stand by all his Government’s statements and actions?
Rt Hon CHRISTOPHER LUXON (Prime Minister) (14:05): Yes, and in particular, our desire not to introduce a streaming tax.
A few minutes later he said voters knew they could trust him not to increase spending by 84 percent, drive inflation up to a 32-year high of 7.3 percent, have 12 to 13 interest rises, put an economy into slow-down, and have people lose their jobs.
They also can be reassured we won’t be doing a capital gains tax, we won’t be doing a digital services tax, we won’t be doing a business tax, a streaming tax, a ute tax, or, Willie, a land tax.
Paul Goldsmith fleshed out his party’s position several questions later.
Question No. 10
NANCY LU (National) (14:41) to the Minister for Media and Communications: Is he considering implementing a streaming tax?
Hon PAUL GOLDSMITH (Minister for Media and Communications) (14:41): No—no, I’m not. That is because New Zealanders do not need more taxes, and the people who tune in to Netflix, or whatever other streaming device they have, don’t need to be paying more taxes. The Government that keeps control of its spending doesn’t need to dream up new taxes every day.
And then the petty politicking…
Nancy Lu: Has he seen any recent proposals for a streaming tax?
Of course he had. Never mind Labour had reversed its position.
Hon PAUL GOLDSMITH: I have seen some recent proposals. In fact, the Government has been considering a member’s bill that has been before the Parliament, by Willie Jackson, proposing such a tax. We don’t agree with it—although I’m surprised because we can’t find that bill anymore this morning.
Next day, the Nats revisited the issue.
Question No. 2
Rt Hon CHRIS HIPKINS (Leader of the Opposition) (14:05) to the Prime Minister: Does he stand by all of his Government’s statements and actions?
Rt Hon CHRISTOPHER LUXON (Prime Minister) (14:05): Absolutely, and I just want to confirm for the member that this Government won’t be implementing a capital gains tax, a digital services tax, a business tax, a 45 percent top tax rate, an inheritance tax, gift tax, rentals tax, asset tax, land tax, streaming tax, or ute tax.
A bit later, it transpired that Vaness Weenink had not been listening when Goldsmith ruled out a streaming tax the previous day…
Question No. 9
Dr VANESSA WEENINK (National—Banks Peninsula) (14:34) to the Minister for Media and Communications: Is he considering implementing a streaming tax?
Hon PAUL GOLDSMITH (Minister for Media and Communications) (14:35): No.
In short – the Nats say they won’t be introducing a streaming tax.
Labour says it won’t be introducing a streaming tax.
Is there much point in going on?
Apparently yes.
Dr Vanessa Weenink: What would a streaming tax mean for New Zealand consumers?
Hon PAUL GOLDSMITH: Well, any tax imposed on streaming platforms would ultimately risk being passed onto consumers—the people who are trying to watch Netflix, or Apple TV, or whatever it is. The Government’s view is that New Zealanders pay enough tax already, and the last thing that we need is even more taxes, so that is why we’re not going to be adding to the pile of taxes that New Zealanders pay, and part of that is being careful about our spending and that means we don’t have so much tax.
And then (as if to her reaffirm she hadn’t been paying attention the previous day) …
Dr Vanessa Weenink: Has he seen any recent proposals for a streaming tax?
SPEAKER: This needs to be very carefully answered.
Hon PAUL GOLDSMITH: Well, as we discussed yesterday, there was a member’s bill and it did refer to a “small levy” on these giant streamers that will create a substantial revenue stream. The only point I’d say is this: things can start small that become big. If we look at Canada, for example, a 5 percent tax was introduced and then—lo and behold—it was 15 percent. The first series was at 5 percent and the next series was at 15 percent, so there’s always a risk when taxes and levies are introduced that they will continue to expand. We’re not going to take that risk, and that’s why we’re not having a streaming tax.
By now the Nats’ position should have been clear.
But not to all of its MPs, apparently.
Yesterday, Hansard tells us …
Question No. 5
JOSEPH MOONEY (National—Southland) (14:27) to the Minister for Media and Communications: Is he considering implementing a streaming tax?
Hon PAUL GOLDSMITH (Minister for Media and Communications) (14:27): No, we are not, and we think Zealanders pay enough tax already and we don’t need another tax.
Joseph Mooney: Has he seen any New Zealand films that required a streaming tax in order to succeed?
Hon PAUL GOLDSMITH: No, but I do recall seeing Tinā last year, a highly successful film, earning more than $10 million in the international box office, and one of New Zealand’s most successful films. It did draw on the extensive support of the New Zealand taxpayers, but it didn’t need an extra tax.
Mooney asked a supplementary question which ran into procedural problems.
Joseph Mooney: What commentary has he seen about a streaming tax?
Hon PAUL GOLDSMITH: Oh, well. Well, I have some interesting commentary. I saw one member say, “We will implement a streaming levy as early as possible after the election—
After being reminded of Speaker’s rulings on what he might say, Goldsmith apologized. He then concluded:
But what I can say is that there’s been much to-ing and fro-ing, but on this side of the House, we’re absolutely clear: there’s enough taxes paid in New Zealand already, and we don’t need another tax.
Here at PoO, we are left to wonder if this rules out something signalled by Christopher Luxon.
He has said a re-elected National-led government would consider specific new revenue-raising tools, such as an accommodation (bed) tax and a potential increase to fuel excise duties in a second term.
Bob Edlin is a veteran journalist and editor for the Point of Order blog HERE. - where this article was sourced.
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