28 Jul 2023

Cutting GST on fruit and veges won't help most in need

From Morning Report, 8:12 am on 28 July 2023

Targeted payment cards and teaching about eating would do more to help lower income households eat more fresh fruit and vegetables, than removing GST.

That's according to an economist who believes cutting consumer taxes from fresh produce won't help those most in need.

She says that's because any cost savings would be used to top up household budgets, and be spent on other essentials such as clothes, rent or meat.

Te Pāti Māori is proposing removing GST from all food, and National claims that Labour's going to campaign on removing GST from fresh fruit and vegetables.

AUT senior taxation lecturer Ranjana Gupta spoke to Ingrid Hipkiss.