Election 2026: Will parties’ tax policies support public health and equity?

Summary

Heading into this year’s election, most political parties have limited awareness that a fundamental transformation of our tax system is required. Only the Greens and Te Pāti Māori (TPM) appear to recognise that the tax system is the major tool we have to improve public health and modify the drivers of inequity and poverty.

We surveyed political parties about their tax policies and assessed them using criteria, including their evidence base and relevance to public health objectives of increasing equity and reducing poverty, mortality and morbidity. 

From the responses and published party policies, four of the parties met, to at least some extent, the analysis criteria – Greens, TPM, Labour, and Opportunity. NZ First (NZF) had some income tax proposals for low-income households. Neither National nor ACT proposed use of the taxation system to address fundamental public health outcomes.

Tax policies have a fundamental influence on the health and wellbeing of people and communities. Our current tax system, with its reliance on income tax (as well as GST), emphasises tax on work rather than accumulated wealth, and allows large companies to contribute less than their fair share to government revenue. Changes to these current features of our tax system would redistribute income and reduce poverty and inequality, as well as raising increased funds for health and other essential public services.1,2 Taxes on unhealthy products can also discourage their consumption, while taxes on pollutants can help reduce exposures that harm health.3,4

The Public Health Communication Centre survey asked the political parties to provide their tax policies as a means to improve public health. Five of the seven parties surveyed responded, while ACT or National did not.  For these two parties, we relied on publicly available information. We also considered information from the published tax policies of all parties to gain a comprehensive view.5-11 

To analyse responses, we considered their use of a population and system-wide approach; their evidence and research base; any awareness of trade-offs and policy linkages; indication of the purposes of increased revenue; estimates regarding revenue gained from any proposal, and costings; potential adequacy of government revenue; relevance to public health objectives of increasing equity and reducing poverty, mortality and morbidity. 

Box 1: Questions put to political parties on democratic systems as part of the Public Health Communication Centre’s Election 2026 survey

Will your party introduce any of the following taxes: a wealth tax, a tax on revenue received by inheritance, or a comprehensive capital gains tax?Will your party make more sustained and effective use of remedial taxes to reprice unhealthy products, such as sugar taxes, which have been effective internationally?Please expand on your answers above and/or outline any other policies your party may have to make the tax system more equitable and for making better use of taxes on unhealthy products or pollutants.Survey responses: Wealth, inheritance and capital gains tax policies

Greens, TPM, and Labour all favour one or more of these taxes. Greens propose a net wealth tax and an inheritance tax. Labour is committed to a minimal capital gains tax, ring-fenced for access to primary health care. 

TPM supports a net wealth tax, with a lower exclusion level than Greens. TPM proposes a land banking tax, a vacant house tax, and stamp duty. Any such tax could, at least partially, fulfil functions similar to a wealth tax.

NZF, ACT and National do not appear to support a wealth tax or capital gains tax. Opportunity would not introduce an inheritance or capital gains tax; however, its land tax is a limited wealth tax.

Remedial taxes to improve population health

TPM indicates support in its survey response for such an initiative. Labour, National, ACT, NZF and Opportunity either make it clear that they would not support such policies or make no reference to them. 

National does not appear to envisage any change to its 50% excise tax reduction on heated tobacco products, while Labour is committed to its reversal.

The Greens would establish a minimum price on alcohol and an alcohol tax proportional to the quantity of pure alcohol

Tax policies to make the tax system more equitable 

TPM would remove tax from the first $30,000 of income, and increase rates for high-income people. Company tax would be 33% and an ‘international profit transfer tax’ is proposed on 5% of the value of profits transferred offshore.5

NZF supports a tax-free threshold for the first $14,000 by April 2027; and would cut tax to offset compulsory Kiwisaver contributions.12 NZF recently announced it would lower the company tax rate to 20% for companies with turnover under $30 million, from the current 28% tax rate.13 Their response to the PHCC survey supports removing GST from rates. NZF would introduce a tax-free ‘Kiwi Kids Grant’ of $5000 annually for the first three years, for each of the first, second, and third child.7

Labour and National do not appear to propose changes to income tax, corporate tax, trusts, GST, or international tax.

The Greens would introduce a tax-free threshold of $10,000 and a new tax rate of 45% for income over $160,000.14 Other tax proposals for a more progressive tax system include a corporate tax rate of 33% for the 0.7% of biggest corporations, with a 28% rate for small/medium enterprises. The party supports an annual Bank Levy of 0.06 percent on the liabilities of the four big banks; and a 5% withholding tax rate for big multinational companies on profits sent offshore. They would reverse the 2024 and 2025 landlord tax cuts and changes to the ‘brightline’ period.14

Opportunity proposes income tax rates of 28% up to $50,000, 34% from $50,001 to $200,000 and 39% above $200,000. Its Citizen’s Income of $19,400 a year for eligible New Zealand residents aged 18 and over would be tax free.15

Tax and the environment

TPM indicated support for policies to incentivise lowering-emissions and discourage environmental harm. Labour would defer fuel tax rises for three years. National and ACT would defer them for one year, with a lower than current annual rise afterwards.16,17 

The Greens have detailed and costed emission pricing proposals (a form of tax) and would continue annual fuel tax rises at the current rate.18 Opportunity seems to support fuel tax rises.19

Conclusion

Overall, there is limited recognition across parties, with the exception of the Greens and TPM, that broader tax reform is needed to improve public health, reduce poverty and inequities. However, some parties, such as Labour, NZF, and the Opportunity Party, met our analysis criteria to different degrees. 

The Greens have detailed, costed policies that would substantially reshape the tax system, making income tax more progressive, placing greater emphasis on wealth, and increasing the contribution of large companies. TPM’s policies are less detailed but indicate support for reform.

Labour’s policies tinker with rather than transform the current tax system, with limited likely impact on equity or poverty. NZF focuses on making income tax more progressive but does little to shift taxation towards wealth or increase contributions from large companies. NZF does, however, recognise the need to support the families of young children with their proposed Kiwi Kids Grant. Opportunity’s Citizen’s Income could improve equity and reduce poverty, although its impact on government revenue is unclear.

Neither National nor ACT propose using taxation to address population health or reduce poverty and inequities. 

 

Table 1: Summary of TPM, NZF, Labour, Greens, Opportunity parties’ responses. Full responses in Appendix. National and ACT did not respond.

PartyWealth tax, tax on revenue received by inheritance, or a comprehensive capital gains tax?New remedial taxes to reprice unhealthy products, such as sugar taxes?Other tax policies Te Pāti MāoriUnclear, not announced at the time of the survey.Unclear; indicated support for remedial taxes Indicated support for taxes on unhealthy and polluting products; future announcement on tax signalled including “tax changes that will encourage accessibility and affordability of kai.”New Zealand FirstNo, opposed.No, opposed.

Stated, “key priority is establishing a tax-free threshold on the first $14,000 of income by April 2027 to directly assist low-and-fixed-income families.”

Remove GST on rates, highlighted difficulty of rates for retirees on fixed incomes.

Stated they will protect government revenue by expanding “the IRD’s tax audit capacity and crack down on tax evasion and multinational e-commerce corporations (e.g., Google, Facebook) that pay minimal domestic tax.”

New Zealand Labour Party

No, committed to targeted capital gains tax ring-fenced for free GP visits.

“Fully exempt are: the family home, farms, KiwiSaver, shares, business assets, inheritances and personal items.” 

No.Reinstate previous excise tax on heated tobacco products and stated that the consequence of the current Government cutting it by 50% was “effectively handing millions in tax breaks to one tobacco company.”Green Party of Aotearoa New ZealandYes, “introduce a super-rich tax of 2.5% on net wealth over $10 million” and “introduce a Capital Acquisitions Tax on gifts and inheritances over $1 million, excluding family homes and farms.”Indicated support for “investigating a sugary drinks levy”. Would ensure “alcohol excise tax is staggered between off and on-licences, and proportionate to the harm caused.”“Reform the Emissions Trading Scheme so that it works as an effective tax on carbon emissions, including by phasing out free allocations for big emitters, removing forestry offsetting, and ringfencing revenue to decarbonise industry”The Opportunity PartyNot as such. However, the land value tax is a form of wealth tax.No.“Favoured approach to taxation reform is a comprehensive land value tax paired with a universal citizens’ income.”What this Briefing adds Our analysis finds that, with the exception of the Greens and TPM, political parties largely do not propose transformation of our tax system to improve public health or reduce poverty.Greens recognise the need to de-emphasise the current focus on income tax with a proposed tax on wealth and inheritances. Labour has a minimal capital gains tax, and Opportunity a land tax. TPM would tax wealth, land banking, vacant houses and have a stamp tax on most residential property purchases but has provided limited detail at this point.Details are also provided on parties’ policies for income tax and taxes on unhealthy products and environmentally harmful activities.Implications for policy and practiceParty consensus that recognises that the tax system is the major tool we have to modify the drivers of inequity and poverty is needed.Recognition is also needed that our tax system over-emphasises income tax and GST. An increased focus on accumulated wealth, and measures to ensure greater contributions from large companies, would make our tax system fairer, more equitable, and produce more revenue, Parties that form the next Government could reform the tax system to better support public health, reduce poverty and address inequities.Author details

Louise Delany, Former Senior Lecturer for the Department of Public Health, Ōtākou Whakaihu Waka | University of Otago

 

Disclosure statement

Louise is also a member of Tax Justice Aotearoa. She has prepared this Briefing in her personal capacity.

 

Appendix 

Further details on party policies 

Wealth, inheritance and capital gains taxes

The Greens wealth tax would be 2.5% on net assets above $10 million, with exclusions including the family home and Māori land under the Te Ture Whenua Māori Act. Their inheritance tax would have ‘lifetime application’, along the lines of the Irish Capital Acquisition Tax.

TPM’s wealth tax would exclude all people with less than $2 million in net assets and estimate that 3% of the NZ population are high-wealth individuals with an average net wealth of $6m each. TPM in their published policy provides a helpful context. This refers to research, but this is not detailed.

Labour’s CGT would exclude among other entities the family home or farm, as well as inheritances, shares, KiwiSaver. Revenue gained would be earmarked for primary health care accessibility.  Revenue is projected to be small relative to GDP and total tax revenue but could increase over time.

The Opportunity Party land tax, as set out in their published “Reset” policy, would consist of an 1.75% annual tax on the value of land only. Some exemptions and deferrals could apply.

Full unedited (though formatted) responses from parties presented in a randomised order.

Te Pāti Māori

Will your party introduce any of the following taxes: a wealth tax, a tax on revenue received by inheritance, or a comprehensive capital gains tax? 

Te Pāti Māori is set to announce its tax policy very shortly. What we can reveal is a re-gearing of the tax system in order to deliver the transformation people in Aotearoa require.

Will your party make more sustained and effective use of remedial taxes to reprice unhealthy products, such as sugar taxes, which have been effective internationally?

Te Pāti Māori has long-supported this initiative.  As above, Te Pāti Māori is set to announce its tax policy very shortly.  Te Pāti Māori are proposing tax changes that will encourage accessibility and affordability of kai for all whānau in Aotearoa.

Please expand on your answers above and/or outline any other policies your party may have to make the tax system more equitable and for making better use of taxes on unhealthy products or pollutants. 

Te Pāti Māori has long-supported this initiative.  As above, Te Pāti Māori is set to announce its tax policy very shortly. 

New Zealand First

Will your party introduce any of the following taxes: a wealth tax, a tax on revenue received by inheritance, or a comprehensive capital gains tax?

No. We advocate for a simplified, fair tax system that encourages savings and investment, keeping more money in the pockets of working New Zealanders and retirees on fixed incomes.

Will your party make more sustained and effective use of remedial taxes to reprice unhealthy products, such as sugar taxes, which have been effective internationally? 

No. Our focus is on reducing the overall tax burden on households and improving incomes, rather than introducing new excise taxes on food and drink.

Please expand on your answers above and/or outline any other policies your party may have to make the tax system more equitable and for making better use of taxes on unhealthy products or pollutants. 

New Zealand First believes the primary objective of the tax system should be economic fairness and relieving the burden on working-class New Zealanders. Our key priority is establishing a tax-free threshold on the first $14,000 of income by April 2027 to directly assist low-and-fixed-income families. To ensure fairness, we oppose any new wealth, inheritance, or comprehensive capital gains taxes, which add bureaucratic complexity and act as a disincentive to hard work and local investment.

Additionally, we are committed to eliminating double-taxation “deceits” such as GST on local authority rates and excise taxes. Rates are a major burden for retirees on fixed incomes; removing GST on rates will provide immediate, equitable relief.

Regarding remedial taxes on unhealthy products, New Zealand First opposes regressive taxes like sugar taxes. Exorbitant taxes on products like tobacco ($2 billion collected annually) act as a penalty on the poor rather than an effective health strategy. We support practical harm-reduction, such as diverting smokers to significantly safer products (like Swedish Snus or vaping) rather than punitive taxation.

To protect tax revenue without raising rates on families, we will expand the IRD’s tax audit capacity and crack down on tax evasion and multinational e-commerce corporations (e.g., Google, Facebook) that pay minimal domestic tax. This pragmatically funds public services like health and education by enforcing the equal application of tax laws to all taxpayers.

Disclaimer: Please note that for a lot of areas, the (NZ First) party has yet to finalise its policies. The questions answered draw inspiration from publicly announced policies for the upcoming elections, party principles and past party policies – which may or may not be part of NZ First Election Manifesto for 2026.

ACT New Zealand

Did not provide a response.

New Zealand Labour Party

Will your party introduce any of the following taxes: a wealth tax, a tax on revenue received by inheritance, or a comprehensive capital gains tax? 

Labour has one tax policy: a simple, targeted capital gains tax. That’s it. It will shift investment out of property speculation and into the productive economy – levelling the playing field for business, and creating jobs. Fully exempt are: the family home, farms, KiwiSaver, shares, business assets, inheritances and personal items.  
This will fund three free doctor’s visits, free prescriptions, free cervical cancer screening and free maternity scans, so cost is never a barrier to essential care. Investing in primary care is how we turn around the challenges facing our health system, to keep people well and ease pressure on our hospitals.  
We will not be introducing a wealth tax or an inheritance tax. 

Will your party make more sustained and effective use of remedial taxes to reprice unhealthy products, such as sugar taxes, which have been effective internationally? 

Labour has one tax policy: a simple, targeted capital gains tax. That’s it. It will shift investment out of property speculation and into the productive economy – levelling the playing field for business, and creating jobs. It will go directly to our health system, to make care affordable for all New Zealanders.  

Please expand on your answers above and/or outline any other policies your party may have to make the tax system more equitable and for making better use of taxes on unhealthy products or pollutants. 

The current Government cut excise tax on heated tobacco products by 50%, effectively handing millions in tax breaks to one tobacco company.  Labour is committed to reversing this tax break, which would be far better spent on essential services for New Zealanders, such as health.  

Green Party of Aotearoa New Zealand

Will your party introduce any of the following taxes: a wealth tax, a tax on revenue received by inheritance, or a comprehensive capital gains tax? 

Yes. The Green Party will introduce a super-rich tax of 2.5% on net wealth over $10 million so that multimillionaires pay their fair share. We’re also campaigning to introduce a Capital Acquisitions Tax on gifts and inheritances over $1 million, excluding family homes and farms.

Will your party make more sustained and effective use of remedial taxes to reprice unhealthy products, such as sugar taxes, which have been effective internationally?

The Green Party are supportive of investigating a sugary drinks levy, and ensuring alcohol excise tax is staggered between off and on-licences, and proportionate to the harm caused. 

We would also work to increase the affordability of healthy foods, and are supportive of restricting the marketing, distribution and affordability of unhealthy foods to children.

Please expand on your answers above and/or outline any other policies your party may have to make the tax system more equitable and for making better use of taxes on unhealthy products or pollutants.

The Emissions Trading Scheme should work as a strong tax on carbon pollution, but right now the government’s weak settings mean it is ineffective. The Green Party will reform the Emissions Trading Scheme so that it works as an effective tax on carbon emissions, including by phasing out free allocations for big emitters, removing forestry offsetting, and ringfencing revenue to decarbonise industry.

New Zealand National Party

Did not provide a response.

The Opportunity Party

Will your party introduce any of the following taxes: a wealth tax, a tax on revenue received by inheritance, or a comprehensive capital gains tax? 

No, Opportunity’s favoured approach to taxation reform is a comprehensive land value tax paired with a universal citizens’ income. More detail is set out in our Tax Reset policy.

Will your party make more sustained and effective use of remedial taxes to reprice unhealthy products, such as sugar taxes, which have been effective internationally?

No.

Please expand on your answers above and/or outline any other policies your party may have to make the tax system more equitable and for making better use of taxes on unhealthy products or pollutants.  

Our Citizens’ Income combines with a comprehensive reform of New Zealand’s tax credit and benefit system. This will significantly reduce the inequities of those systems, particularly with respect to child poverty.