Landlords are up in arms against the Tax Working Group's proposal to eliminate tax write - offs while considering levying a land tax on the properties.

Over claims that they enjoy unfair tax advantages as compared to business owners landlords retaliated by stating that there was no difference between the two when the equity buying and selling practices of private businesses are taken into consideration. Also, the move which aims at reigning in rich property developers would in reality harm retirees and adversely affect those property investors that own just one house and make up 90% of all land owners.

The latest move comes as a part of the government's efforts to make the tax system fairer, and to augment the loss in its coffers when high income earning individuals and companies, that form a large proportion of the mobile tax base on which New Zealand is so heavily dependent, shift base to Australia.

According to Sue Tearney, president of the Auckland Property Investors Association, "investors who have bought property as a retirement nest-egg will lose out more than most. the proposed changes are unfairly singling out retired people".