A leader in the property industry has for now said that if capital gains tax is now levied on the profits made from selling an investment property, it will surely make it hard for the investors abroad to afford property in New Zealand.

Considering the implementation of capital gains tax, the key aspect of its election campaign platform, the Labour party has for now finally revealed its plan to enforce the tax on June 6. Following the revelation the series of debates have now been conducted to support and oppose the idea that is very much inclined towards protecting the country from slowdowns to the home-buyers market, as stated by party officials.

Further, in the explanation to the property industry the party leaders said that the tax will be levied at 15% on the profits made from selling an investment property and will be levied only on the second homes and the investment property.

The party officials have also made it very clear during the discussion on the support that may be extended for the country if the implementation of the capital gain text is ensured, saying that the decision to pursue with such a tax can further raise nearly NZD 4.5 billion per year.

The party also guaranteed the removal of GST on fruits and vegetables, and exempting the first NZD 5000 of incomes earned from tax liabilities, if the tax is successfully implemented and the country earns enormous revenues.