Minister defends Cullen contract

Finance Minister Grant Robertson is defending the ongoing role of Sir Michael Cullen over tax reform, saying it was only fair he continued to be paid.

This week revealed that Cullen’s contract as Tax Working Group chairman had been extended.

He will be paid up to $1062 a day in the role, based on doing a maximum six-hour day.

The Government has revealed nothing about the extent of the work Cullen is expected to carry out.

The first official Tax Working Group statement since the report was released attacked arguments made by the National Party, while in an interview Cullen said he was considering also defending the report against incorrect Opposition claims about the impact on farming of a capital gains tax.

Robertson’s office has not responded to written questions; however, he told reporters in Parliament that the payments were appropriate.

‘‘There’s clearly a lot of interest in the Tax Working Group’s report and he [Cullen] needs to be in a position to respond to questions that are asked.’’

He said the rate Cullen was being paid was ‘‘standard’’.

When National initiated a tax review in 2010, its own working group’s chairman, Victoria University of Wellington Professor Bob Buckle, commented extensively after the report’s release.

Robertson said he had ‘‘no idea’’ whether Buckle was paid.

Contacted in response to the comments by Robertson, Buckle said he took part in the 2010 review on a voluntary basis, and he believed other members of the working group did too.

This included both the development of the report, and comments made afterwards.

National’s finance spokeswoman, Amy Adams, said Cullen’s approach was ‘‘outrageous’’.

‘‘There’s no doubt in my mind that it is political debate and he’s taking potshots at the Opposition. That is totally inappropriate to use taxpayers’ money to do that and it is quite, I think, unprecedented,’’ Adams said.

If the Government was concerned about the debate, Adams said, it should have also retained members of the working group who offered a dissenting view.

ACT leader David Seymour said the extension of Cullen’s contract was ‘‘a vote of no confidence’’ in Robertson’s ability to articulate and defend the Government’s plan for the tax system.