Treaty settlements yet to hit Govt accounts

HAMISH RUTHERFORD
Last updated 10:11 20/02/2013

Relevant offers

Industries

Woman killed in farm accident in Southland Job hunting is becoming easier with more listings on Trade Me Air New Zealand moves to delay Qantas and American Airlines competition Apple users urged to return refurbished chargers Yealands sale transparent, say key players Councils join forces to push for a plastic bag levy Medical innovation a pulsating heart for business Business looks beyond China factories Tuatara Breweries planning to contract brew overseas NZ Post buggie trial a hit with posties and the public

Delays in finalising Treaty settlements saw the Government accounts post a smaller than expected deficit in the second half of 2012.

According to The Treasury, New Zealand's operating balance before gains and losses (OBEGAL) was $158 million lower than expected when the Government released its half year forecasts on December 18, at $3.2 billion.

The difference was primarily due to lower Crown expenditure, although tax paid by companies was also below forecast.

The Treasury figures showed core Crown expenses  $273m below forecasts ''largely owing to Treaty settlement expenses being $186m below forecast due to complex negotiation issues not being finalised as planned during December'' the agency said in a statement.

The Crown's core tax revenue was $27.3 billion was $31m lower than expected.

Source deductions and other individuals tax were both higher than expected in December, by $111m and $122m respectively, while corporate tax was under forecast by $151 million.

A surge in investment gains from ACC and the New Zealand Superannuation Fund, on the back of rising markets, gave an operating surplus of $1.7b, compared to forecasts of a deficit of $541m.

Ad Feedback

- Stuff

Special offers

Featured Promotions

Sponsored Content