NZ Government Revenue And Expenses
Government Revenue:
Total Revenue: $153.0 billion NZD
Tax Revenue:
Core Crown Tax Revenue: $112.4 billion NZD
Income Tax: Approximately $45 billion NZD (personal and corporate)
Goods and Services Tax (GST): About $26 billion NZD
Other Indirect Taxes (like excise duties, road user charges): Around $5 billion NZD
Customs and Excise Duties: $3.9 billion NZD
Gaming Duties: $0.2 billion NZD
Energy Resources Levies: $0.5 billion NZD
Non-Tax Revenue:
Investment Income: $5 billion NZD (including NZ Super Fund earnings)
Sales of Goods and Services: $3 billion NZD
Other Revenues: Including fines, levies, and fees, around $2.5 billion NZD
Government Expenditure by Department (In Millions/Billions NZD):
[Expenditure details as previously listed]
Summary of Financial Position:
Total Expenses: $161.8 billion NZD
Operating Balance (Revenue less Expenses plus Net Gains/Losses): $5.3 billion NZD surplus
OBEGAL (Operating Balance before Gains and Losses): $9.4 billion NZD deficit, highlighting the impact of volatile gains and losses on the overall balance.
Notes:
[Notes as previously listed]
Example:
NZ GDP [ $253.47 billion]
Govt Exp [ $161.8 billion] = 63.83% of GDP
Taxes Collected [ $112.4 billion] = 44.35% of GDP
This example illustrates that while government expenditure is 63.83% of GDP, the taxes collected represent 44.35% of GDP, indicating the government's reliance on tax revenue and the gap filled by other revenue sources or borrowings to meet its spending needs.
Here's a simplified numerical representation of trends in tax collection revenue and government expenditure for New Zealand over the last 20 years, based on the given information and general economic trends:
Tax Collection Revenue (in billions NZD, adjusted for inflation):
2004: ~$45 billion
2008 (pre-GFC): ~$60 billion
2012 (post-GFC): ~$55 billion
2016: ~$70 billion
2020 (pre-COVID): ~$90 billion
2023: $112.4 billion
2024 (estimated): ~$115 billion
Government Expenditure (in billions NZD, adjusted for inflation):
2004: ~$50 billion
2008 (pre-GFC): ~$65 billion
2012 (post-GFC): ~$75 billion
2016: ~$90 billion
2020 (pre-COVID): ~$100 billion
2023: $161.8 billion
2024 (estimated): ~$165 billion
Observations:
Pre-Global Financial Crisis (GFC): Both revenue and expenditure were growing, with expenditure slightly outpacing revenue.
During and Post-GFC: There's a noticeable impact on tax revenue with a slight decrease or stagnation, while government expenditure increased significantly due to stimulus measures.
Recovery Period: Tax revenues recover and grow, though government spending remains high due to ongoing commitments and new initiatives.
COVID-19 Era: A marked increase in government expenditure due to emergency measures, with a slowdown or dip in tax revenue in 2020, followed by recovery.
Recent Years: Both figures continue to rise, but expenditure has grown more rapidly, reflecting increased government programs or responses to economic challenges.
Note:
These numbers are illustrative, simplified for clarity, and adjusted for inflation to give a sense of real terms growth. Actual figures would vary due to specific economic conditions, policy changes, and inflation rates each year.
The estimates for 2024 are speculative, assuming moderate growth from 2023 based on recent trends and not accounting for any unforeseen economic shifts or policy changes.