CGT debate

GEOFF NIGHTINGALE’S comment regarding capital gains tax is specious.

He effectively compares an investment property with the family home! If the price or value of a family home appreciates such that a 20 per cent gain in value can be realised, then it is likely that the relative values of replacement properties has appreciated at a similar rate and will therefore cost 20 per cent more to get into. Alternatively the owners have invested significantly through renovations to increase the value to step up to a better quality home.

The beach home that he mentions however can never be considered anything other than an investment.

His argument is one of the monied elite trying to avoid taxes.

The vast majority of average kiwis at average incomes can only dream of being able to own a beach house to holiday in.

Murray Shaw, Whanganui