Working for Families reform must end discriminatory tax credits

The Government’s reported reform of Working for Families must put an end to the discriminatory tax credits that keep some kids in poverty, the Green Party said today.

“Working for Families doesn’t work for some of the lowest income families in our communities, because they can’t access some tax credits, and this keeps them in poverty,” Green Party Social Development and Employment spokesperson Ricardo Menéndez March said today.

“The In-Work Tax Credit and Minimum Family Tax Credit discriminate against families who can’t find paid work or are self-employed, meaning often they can’t access the income support they need to live with dignity.

“COVID-19 showed the importance of supporting everyone in our communities and recognising the value of the unpaid work that keeps us together. At a time when it’s harder to find a job than normal, it’s really important the Government reforms these discriminatory tax credits.

“Working for Families has been effective at raising some family incomes, but not others. We welcome steps to reform it and we encourage the Government to move towards greater universality of income support such as the Green Party’s proposed Guaranteed Minimum Income.

“The Green Party also welcomes reports that the Government is exploring options for families without children, and this needs to recognise that people caring for elderly relatives deserve enough income to live with dignity, independent of their employment status.” 

The Green Party’s proposed Guaranteed Minimum Income includes replacing all current Working for Families tax credits with a Family Support Credit for all low and medium income families, of $190 a week for the first child and $120 a week for subsequent children.

ENDS

Latest Social Development Announcements

Story

Amnesty needed on welfare debt

The Green Party is calling for an amnesty on debt the Government is collecting from low income people and families.
Read More

Story

Kids living in poverty cannot wait any longer for change

Labour needs to urgently up its game if it is to ensure every child in Aotearoa has what they need to thrive, the Green Party said in response to t...
Read More

Story

Support needed for Auckland families and communities, not just tourism

The Green Party welcomes the additional support for Auckland this summer but said Labour needs to do more to ease the hardship many families in Tām...
Read More

Story

Government must address council housing rent gap

The Green Party has launched an open letter calling on the Minister of Housing to extend the Income Related Rent Subsidy to council housing tenants...
Read More

Story

Greens urge more support for vulnerable families in lockdown

The Green Party calls on the Government to urgently provide relief for people and families doing it tough, as a new report from the Salvation Army ...
Read More

Story

Greens call for dehumanising sanctions to be removed, GMI to be implemented

The Green Party is renewing its calls for benefit sanctions to be removed after new research found some people do not understand why they were sanc...
Read More