Landlord tax could breach tax principles

The bill, which was announced last year, is aimed at creating a fairer, more transparent tax system, says Parker.

At the same time, the IRD is also undertaking research into whether wealthy New Zealanders are paying their fair share of tax.

Under the bill there will be four tax principles: Horizontal equity, vertical equity, economic efficiency and administrative ease, which Parker claims are settled.

At a Victoria University speech "Shining a light on unfairness in our tax system" Parker says he sought principles New Zealanders of all stripes see value in retaining and protecting. “They need them to be clear enough to avoid ambiguity, without determining outcomes which are political."