New Zealand election 2026: Who pays more or less in tax?

Election date: 7 November 2026 · Policy snapshot: October 2026

The central divide in this election is whether New Zealand should keep its existing tax structure and focus on spending restraint, or shift more of the tax burden towards wealth, property, high incomes and large businesses to fund public services and other support. Summary of 2026 election tax policiesTax Tips: 2026 General ElectionElection Tax Policies, part four

The main proposals differ substantially. National and ACT favour keeping new taxes to a minimum, while Labour, the Greens, Te Pāti Māori and the Opportunity Party propose more extensive changes. New Zealand First sits between these approaches, combining targeted tax relief with some business tax cuts. Summary of 2026 election tax policiesTax Tips: 2026 General ElectionElection 2026: Will parties’ tax policies support public health and equity?

These are proposed policies, not enacted changes. Some details may change during the campaign or coalition negotiations.

At a glance: the parties' approaches

Party	Who could pay less?	Who could pay more?	How public services would be funded
National	No new broad tax increases; possible future relief for workers	No major new tax group proposed	Spending restraint, economic growth, lower debt and existing revenue
Labour	Some small businesses; potentially people making smaller capital gains outside the proposed tax's scope	Owners of taxable investment property when they realise gains	A capital gains tax dedicated to primary healthcare; other spending within its fiscal plan
Greens	Most income earners under their proposed new income-tax scale	Very wealthy households, large companies and major banks	Wealth, inheritance, business and other targeted taxes
ACT	Taxpayers and businesses benefiting from its preferred low-tax settings and targeted reforms	No broad new wealth-tax programme proposed	Spending restraint, investment and growth, and targeted funding changes
New Zealand First	Lower-income earners; eligible small businesses	No general wealth-tax increase proposed	Existing revenue, tax compliance and targeted reforms
Te Pāti Māori	People on low and middle incomes, including through a tax-free threshold and targeted food support	High-income and wealthy households, land bankers and some businesses	Wealth and property-related taxes, higher company tax and stronger tax enforcement
Opportunity	Eligible adults receiving a universal Citizen's Income; some lower-income earners depending on their circumstances	Landowners, with effects depending on land value and existing income	Land value tax funding a redesigned tax-and-income-support system

This is a directional summary, not a ranking of household outcomes. The net effect depends on income, assets, family circumstances, business ownership and the final policy details. Sources: Tax Tips: 2026 General ElectionElection 2026: Will parties’ tax policies support public health and equity?Summary of 2026 election tax policies2026 Election Policy

1. What each party is proposing

National

Keep taxes low; prioritise fiscal restraint

National pledges no new taxes and has not announced a comprehensive new income-tax-cut package. Its October fiscal plan prioritises reducing government debt and returning to surplus in 2028/29, with the possibility of future tax relief rather than an immediate new cut. National’s plan to secure New Zealand’s future2026 Election Policy

• Who pays less? Taxpayers are not targeted for new broad-based tax increases.
• Who pays more? No new general tax on wealth or capital gains is proposed.
• Public services: The approach is to fund services from existing revenue, control spending, support economic growth and reduce debt. The key question is how much service expansion is affordable under those constraints.

Labour

Targeted capital-gains taxation and small-business relief

Labour proposes a 28% capital gains tax on residential investment and commercial property, with the revenue ring-fenced for health. The family home, farms, KiwiSaver, shares, business assets, inheritances and personal items are among the stated exemptions in its tax plan. Tax Tips: 2026 General ElectionElection 2026: Will parties’ tax policies support public health and equity?

• Who pays less? Eligible small businesses would benefit from a higher immediate asset write-off threshold of $10,000 and a higher compulsory GST registration threshold of $80,000 in annual turnover.
• Who pays more? Owners of covered investment properties when they realise taxable gains.
• Public services: The capital gains tax is specifically intended to support primary healthcare. Labour would fund its small-business package by removing the current Investment Boost in its existing form. Tax Tips: 2026 General ElectionElection 2026: Will parties’ tax policies support public health and equity?

Green Party

Lower taxes on many incomes; higher taxes on wealth

The Greens propose a $10,000 tax-free income threshold, revised income-tax rates and a 45% marginal rate on income above $160,000. They also propose a 2.5% annual net wealth tax on wealth above $10 million, an inheritance and gift tax on amounts over $1 million, a higher company tax rate for the largest businesses and a levy on major banks. Tax Tips: 2026 General ElectionElection 2026: Will parties’ tax policies support public health and equity?

• Who pays less? Most personal income taxpayers would pay less income tax under the proposed scale.
• Who pays more? The very wealthy, recipients of large gifts or inheritances under the proposed rules, major banks and large corporations.
• Public services: Revenue from these taxes would support greater public investment and redistribution, alongside the party's wider health, social and environmental programme. It also proposes reversing recent landlord tax changes.

ACT

Low-tax settings and targeted reforms

ACT opposes a general wealth tax and capital gains tax, favouring tax settings intended to support investment and savings. Its announced measures include targeted changes to digital-asset taxation and tax-credit rules. Election 2026: Will parties’ tax policies support public health and equity?Tax Tips: 2026 General ElectionSummary of 2026 election tax policies

• Who pays less? People and businesses benefiting from ACT's targeted measures and low-tax approach.
• Who pays more? No broad new wealth-tax group is proposed.
• Public services: Its general approach relies on spending restraint, private-sector growth and targeted changes rather than new taxes on accumulated wealth.

New Zealand First

Relief for lower incomes and smaller companies

New Zealand First proposes making the first $14,000 of income tax-free by April 2027 and cutting company tax to 20% for eligible businesses with turnover below $30 million, from the current 28%. It also proposes removing GST from local council rates. Election 2026: Will parties’ tax policies support public health and equity?Tax Tips: 2026 General Election

• Who pays less? Lower-income earners, qualifying smaller companies and households paying council rates.
• Who pays more? It does not propose a general wealth tax or capital gains tax; the overall effect depends on how its relief measures are funded.
• Public services: The party points to better tax compliance and enforcement against evasion, alongside its broader fiscal approach. The revenue and spending implications of the full package need to be assessed together.

Te Pāti Māori

A larger tax-free threshold and stronger taxation of wealth

Te Pāti Māori proposes no income tax on the first $30,000, higher rates for high earners, a net wealth tax, taxes on land banking and vacant houses, stamp duty and a 33% company tax rate. Tax Tips: 2026 General ElectionElection 2026: Will parties’ tax policies support public health and equity?

• Who pays less? People on low and middle incomes who benefit from the tax-free threshold, as well as eligible households receiving targeted food support.
• Who pays more? High-income earners, wealthy asset owners, land bankers and companies facing the higher company rate.
• Public services: The package seeks to raise more revenue from wealth and property, improve tax enforcement and support greater investment in health and other essential services.

Opportunity (formerly TOP)

Land-value taxation and a universal income payment

Opportunity proposes a tax-free Citizen's Income of $19,400 a year for eligible New Zealand residents aged 18 and over, alongside a land value tax and revised income-tax rates: 28% up to $50,000, 34% from $50,001 to $200,000 and 39% above $200,000. Tax Tips: 2026 General ElectionElection 2026: Will parties’ tax policies support public health and equity?

• Who pays less? Eligible adults receiving the Citizen's Income; the net result for workers depends on their income and land-tax exposure.
• Who pays more? Landowners, depending on land value and the final tax design.
• Public services: The land tax would help finance the Citizen's Income and a wider redesign of the tax-and-benefit system. The package's final fiscal balance depends on the full costing of payments and tax revenue.

2. What would the income-tax changes mean in dollars?

The biggest difference is between parties offering a tax-free threshold and those retaining the existing personal income-tax structure.

The figures below illustrate the proposed marginal income-tax rates. They are not estimates of total household tax, and exclude GST, benefits, ACC levies, wealth taxes and other changes.

Party	Key personal income-tax proposal
Greens	First $10,000 tax-free; 45% marginal rate above $160,000
Te Pāti Māori	First $30,000 tax-free; rates rise to 48% above $300,000
New Zealand First	First $14,000 tax-free, proposed from April 2027
Opportunity	28% up to $50,000; 34% to $200,000; 39% above that, plus Citizen's Income
Labour, National and ACT	No equivalent new general income-tax scale announced in the cited policy summaries

Sources: Tax Tips: 2026 General ElectionElection 2026: Will parties’ tax policies support public health and equity?

A tax-free threshold does not mean someone earning below it pays no tax on everything they consume: GST and other taxes can still apply. And the largest income-tax cut does not necessarily translate into the largest overall financial benefit, particularly if someone owns substantial land or investment property.

3. How would the parties pay for public services?

The funding question matters as much as the tax rates. There are three broad approaches.

Existing revenue, spending restraint and growth

National and ACT broadly favour keeping new taxes limited, with fiscal discipline and economic growth intended to sustain public services. This approach depends on controlling expenditure and on growth generating enough revenue to meet future needs. Lower tax rates do not, by themselves, guarantee higher or better-funded services. National’s plan to secure New Zealand’s futureTax Tips: 2026 General Election

New taxes earmarked for particular services

Labour's proposed property capital gains tax is the clearest example: the revenue would be ring-fenced for primary healthcare. Its small-business tax relief would be funded by replacing Investment Boost rather than simply adding another tax cut. Tax Tips: 2026 General ElectionTax Tips: 2026 General Election

Broader tax reform to fund services and household support

The Greens, Te Pāti Māori and Opportunity would shift more of the tax base towards wealth, land, inheritances or higher incomes. Their plans link tax reform with public investment, poverty reduction or income support. New Zealand First instead focuses more on targeted income-tax relief and small-business tax changes, with stronger enforcement also part of its revenue approach. Election 2026: Will parties’ tax policies support public health and equity?Tax Tips: 2026 General Election

4. What remains uncertain?

Three questions are particularly important when comparing the plans.

• Will the revenue cover the promises? A new tax may raise less than forecast if asset values change, taxpayers alter their behaviour or enforcement proves difficult. The Opportunity Party's Citizen's Income, in particular, involves substantial spending whose net fiscal impact needs to be assessed against the full package.
• Who ultimately bears the cost? A tax on a company or landlord may affect shareholders, investment, rents or prices as well as the person legally liable for the tax. The extent depends on market conditions and policy design.
• What happens to services in practice? Announced tax revenue is not the same as a funded service commitment. Costings, implementation dates, administrative costs and coalition agreements all matter. KPMG notes that several proposals may change during coalition negotiations. Summary of 2026 election tax policiesTax Tips: 2026 General ElectionElection 2026: Will parties’ tax policies support public health and equity?

Bottom line

• If your main concern is keeping new taxes off income, wealth and investment, National and ACT's approach is most directly aligned with that objective.
• If your priority is targeted healthcare funding through taxing investment-property and commercial-property gains, Labour's proposal is the clearest match.
• If you want lower income tax for many earners alongside higher taxes on substantial wealth and large businesses, the Greens offer a more comprehensive restructuring.
• If you prioritise a larger tax-free income threshold, Te Pāti Māori and New Zealand First both propose one, but at different levels and with different accompanying policies.
• If you prioritise a universal income payment funded partly through land taxation, Opportunity proposes the most substantial redesign of the tax-and-transfer system.

These are descriptions of policy fit, not an overall ranking: the practical outcome depends on your circumstances and on whether each party can implement and fund its commitments.

Sources to compare the policies directly

• PwC — 2026 General Election tax policy update
• KPMG — Summary of 2026 election tax policies
• Public Health Communication Centre — Tax policies, public health and equity
• National — 2026 election policies