‘Where the bloody hell are you - come over’, Nicola Willis tells Aussies angry about CGT

Friday, 15 May 2026

New rules introduced in the Australian budget this week will see more people pay more on capital gains, in a bid to make housing more affordable. New Zealand’s Finance Minister claims New Zealand has a “competitive advantage” in not having a CGT.

Some Aussies are steaming mad at changes to the country’s capital gains tax system announced on the country’s Budget night this week - and Finance Minister Nicola Willis has seized on their discontent to suggest a move across the Ditch.

Unlike New Zealand, Australia has long had a capital gains tax (CGT) which sees any net capital gain - selling a home or shares for example - added to the seller’s taxable income for the year. Changes announced this week mean from July 1, 2027, rules will change to see fewer people qualify for exemptions, and introduce a flat 30% tax rate on all capital gains, among many other changes.

The flat tax rate aims to prevents high-income earners from deferring asset sales to low-income years to artificially slash their tax burden, while the overall changes aim to address housing affordability and rebalance the market in favour of first home buyers.

But Australian Prime Minister Anthony Albanese’s political foes are fuming at the move, and Willis had her pitch at the ready when asked by local reporters if there was a chance some investors would come to New Zealand as a result of that CGT changing.

“Where the bloody hell are you? Come over!” she said, mimicking a line from the famously controversial Tourism Australia ad from 2006.

“You're welcome to come and invest in New Zealand. We do not have a capital gains tax. Our inflation rate is lower. This is a government that isn't planning to raid you with more taxes. We would love to welcome more Australian investors.

“We would love to welcome home many more Kiwis. We would love Australians to look at us as a place to invest their talent, their time and activity. So, yes.”

New Zealand famously does not have a CGT, although Labour has said it will campaign on a 28% tax on capital gains in the next election exempting the family home and farms and Te Pāti Māori also advocate for a comprehensive CGT on second homes.

The Greens proposed a 2.5% wealth tax on net individual assets worth over $2 million, minus debts.

Willis poo-poohed these measures in a release shortly after the Australian budget.

“In Australia, we’ve just seen the Labor Party break its promise not to expand its capital gains tax.

“Kiwis should be under no illusion - Chris Hipkins and Labour would do the exact same in New Zealand…

“One of New Zealand’s real competitive advantages over Australia is that we do not have a capital gains tax. That helps attract investment, encourages aspiration, rewards Kiwis who work hard and save, and makes New Zealand a more attractive place to build a future.

Official data shows New Zealand attracted NZ$3.91 billion in foreign direct investment in the year to September 30, 2025, roughly 0.7% of the country’s GDP.

In Australia over the same period, there was A$35.2b (roughly NZ$43b) in foreign direct investment, about 1.35% of the country’s GDP.

Stats New Zealand said 41,000 to 48,000 New Zealand citizens permanently moved to live in Australia in 2025. Roughly 17,000 to 18,000 people came the other way.