There is doubt as to whether New Zealanders could cope with much more income tax.
Labour's expected to announce its tax policy in Wellington this morning.
Tax advisory expert Robin Oliver told Mike Hosking it's easy to spend a billion dollars, but to raise that amount through taxes is very hard.
He says we need to step back and make a fair assessment of where we're at.
Oliver says we need to take a look at what expenditure the Government can reduce, then decide on the tax position, and how much debt we can live with.
"You'd have to increase the tax rate to 36 percent for anyone earning more than $70,000, which is a big increase for average households."
Oliver says the Government needs to look at what expenditure it can reduce, then decide on the tax position, and how much debt we can live with.
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