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Indian Newslink Digital Edition June 1, 2015 Edition

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Miss World aspirant advocates education<br />

COMMUNITYLINK<br />

Fiscal Policy aims to reduce child hardship<br />

Chandan Ohiri<br />

The centrepiece of Budget<br />

<strong>2015</strong> is a package<br />

aimed at reducing child<br />

‘hardship.’<br />

Worth $790 million over four<br />

years, the package has $25 per<br />

week increases in bothbenefits and<br />

student allowances for families<br />

with children, a modest increase<br />

in Working for Families for low<br />

income families, and an increase<br />

in the Childcare Assistance rate<br />

for low income families.<br />

The package comes with new<br />

obligations attached; based on the<br />

government’s belief that getting<br />

beneficiary parents into work<br />

is the best way to reduce child<br />

hardship.<br />

Most sole parents and partners<br />

of beneficiaries must be available<br />

for work when the childturns three,<br />

rather than five as at present,and<br />

all beneficiaries with part-time<br />

work obligations will be expected<br />

to work 20 hours per week rather<br />

than the current 15 hours.<br />

Beneficiaries receiving Sole<br />

Parent support will now have to<br />

reapply for their benefit every<br />

year.<br />

There are new measures to<br />

tackle child support debt and<br />

encourage parents to pay what<br />

they owe for their children. Some<br />

or all of the penalty debt will be<br />

forgiven in certain circumstances<br />

(such as where liable parents<br />

are meeting current payment<br />

requirements).<br />

For home buyers and investors<br />

On the demand side, a suite of<br />

tax measures announced ahead of<br />

the Budget requires all buyers and<br />

sellers of property other than the<br />

family home to provide an IRD<br />

number.<br />

This imposes identity<br />

requirements on non-resident<br />

buyers and introduces a new<br />

‘brightline’ test that will typically<br />

see investment property taxed for<br />

capital gain if on-sold within two<br />

years. A withholding tax on nonresidential<br />

investors is also being<br />

considered for introduction in<br />

mid-2016.<br />

On the supply side, Budget<br />

<strong>2015</strong> includes $52 million to<br />

facilitate housing development<br />

on Crown-owned land in<br />

Auckland,$35million to support<br />

the Social Housing Reform<br />

Programme, and $48million<br />

targeted at improving Maori<br />

housing outcomes.<br />

The Crown has also previously<br />

announced that the Tamaki<br />

Redevelopment Company will<br />

build around 7500 new houses in<br />

East Auckland.<br />

For Travellers<br />

There is a new Border Clearance<br />

Levy of around $16 for arriving<br />

passengers, and $6 fordeparting<br />

passengers, to fund passengerrelated<br />

biosecurity and customs<br />

activities.<br />

For Business<br />

The Budget provides for<br />

reductions in ACC levies worth<br />

$375million in 2016, and<br />

additional $120 million in 2017.<br />

It also envisages an increase of<br />

$80million over fouryears to R&D<br />

growth grants. Private Research<br />

Institutes will receive $25 million<br />

over three years to fund their<br />

research programmes.<br />

KiwiSaver incentive goes<br />

The Budget seeks to remove the<br />

‘kick-start’ incentive payment of<br />

$1000 under KiwiSaver Scheme,<br />

although there is no change to<br />

the annual government subsidy<br />

or employer contribution rules.<br />

These changes do not affect<br />

existing KiwiSaver holders<br />

and, with 2.5 million New<br />

Zealanders already signed up, the<br />

Government’s assessment is that<br />

removal of the kick-start payment<br />

will not substantially change the<br />

uptake rate.<br />

Social services<br />

Finance Minister Bill English<br />

has announced an increase of<br />

$1.7 billion over four years for<br />

public health services, particularly<br />

targeting elective surgery,<br />

palliative care, orthopaedic<br />

conditions and bowel cancer<br />

screening. He has also increased<br />

about $50million to develop<br />

Whanau Ora. The Budget provides<br />

$8.5 million for intensive case<br />

management of beneficiaries,<br />

as a part of the government’s<br />

‘Investment Approach’ to social<br />

spending.<br />

For students<br />

Early Childhood,Primary and<br />

Secondary Education will receive<br />

$63million over four years for<br />

special education, a 1% boost to<br />

school operating grants, and 300<br />

extra Trades Academies places.<br />

This would be a part of the new<br />

spending of $443million.<br />

Tertiary Education will receive<br />

$112million of funding, targeting<br />

tuition at degree level;and raising<br />

the profile of engineering growth<br />

in Maori and Pasifika trades<br />

training among other measures.<br />

Mr English has allocated $100<br />

million capital for rebuilding<br />

science facilities within the<br />

Lincoln Hub Redevelopment<br />

Programme in Christchurch.<br />

Infrastructure Allotments<br />

The government will spend<br />

an additional $108 million over<br />

four years to support progress in<br />

developing the Anchor Projects.<br />

KiwiRail will get additional<br />

capital of about $200 million per<br />

year over the next two years, while<br />

regional highways will receive<br />

$97 million. Budget <strong>2015</strong> has also<br />

allotted $52 million to replace the<br />

Waitangi Wharf on the Chatham<br />

Islands, $40 million for urban<br />

cycle ways and$40million capital<br />

investment in Te Papa’s buildings.<br />

Chandan Ohri is IT Advisory<br />

& Consultancy Partner and<br />

India Market Leader at KPMG<br />

based in Auckland. KPMG New<br />

Zealand is the Sponsor of the<br />

‘Best Accountant’ Category<br />

of the <strong>Indian</strong> <strong>Newslink</strong> <strong>Indian</strong><br />

Business Awards <strong>2015</strong>.<br />

<strong>Indian</strong> <strong>Newslink</strong> <strong>June</strong> 1, <strong>2015</strong><br />

Volunteer<br />

expo opens<br />

job doors<br />

Trish Fleetwood<br />

25<br />

Volunteering is now seen by many employers<br />

as an essential component of an employee’s<br />

CV, and Massey University students got an<br />

opportunity recently to see howthey can<br />

make a difference at the annual Volunteer Expo.<br />

The Volunteer Expo was held on the Massey<br />

University campuses in Auckland and Manawatū on<br />

May 13, offering the chance for students and members<br />

of the community to chat with over 20 not-for-profit<br />

organisations to find out the best fit for their skills.<br />

Red Cross at the Expo<br />

Employers’ concern<br />

Volunteering is becoming important to employers.<br />

Employers have told us that one of the factors they<br />

look for on a CV is whether the potential candidate<br />

has volunteered their time and given back to the<br />

community.<br />

We have found that some of our students start<br />

volunteering and discover wonderful ways to add<br />

value to the organisations that employ them.<br />

Volunteering also enables people to develop<br />

networks, enhance self-esteem and gain insights into<br />

a range of career paths.<br />

We were delighted to host the Volunteer Expo at<br />

Massey University.<br />

The Red Cross was just one of the organisations at<br />

the Volunteer Expo on the Auckland and Manawatū<br />

campuses.<br />

Trish Fleetwood is Career Development Consultant<br />

at the Massey Univeristy Auckland Campus<br />

Open the door to<br />

Professional quality aluminium joinery<br />

NEW HOME JOINERY ◙ ADDITIONS ◙ RENOVATIONS<br />

CONSERVATORIES ◙ BALUSTRADE ◙ CUSTOM DESIGNS ◙ SHOP FRONTS<br />

NEW HOME JOINERY ◙ ADDITIONS ◙ RENOVATIONS<br />

CONSERVATORIES ◙ BALUSTRADE ◙ CUSTOM DESIGNS ◙ SHOP FRONTS

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