If you want an example of the left trying to shoot the rich, and ending up killing off the poor, you need look no further than this morning’s news.
Let me explain.
It’s no secret that house prices have risen dramatically in the last few years. If you owned a house in 2000, you’d be very, very unlucky to not have had it double in value, if not more.
What is slightly less well know, is that rents have not risen to match that.
There’s a good reason for this. People are using rental properties to make a tax loss, meaning they can claim a lower rate of tax. This of course, benefits the poor as much as the landlord since poor people tend to rent.
So I was gobsmacked to hear this on the radio this morning:
The Government is considering axing the scheme where landlords and property investors claim losses against their taxes – a move which could see tenants lose their homes if owners sell.
Finance Minister Michael Cullen told Parliament he was considering the move as part of the Government’s wider concerns about monetary policy.
So the poor become a casualty again in the attempt to cover up the mess caused by the government pursuing growth at the expense of good monetary policy.
Update: As you might have noticed, I had a little trouble finding the story on the Internet to quote. However, it was good to see One News pick it up and point out that it will hit those who rent.