The Hound's not-so favourite government department, the state-run farmer formerly known as Landcorp, has proven that it is not just a poorly-performing entity but that it can’t even pick winners with the current Government policy.

The Government's decision not to proceed with a capital gains tax has been approved by farmers. 

Any changes to the tax system should better support the productive dairy sector and not hinder environmental work, says DairyNZ.

A significant number of lifestyle block owners may have to pay a capital gains tax on their family home, warns the Real Estate Institute of NZ.

Federated Farmers says a capital gains tax will add unacceptably high costs and complexity.

The Tax Working Group has recommended the Government look at introducing a capital gains tax.

The introduction of a Capital Gains Tax (CGT) could have a negative impact on farm values, especially in the dairy sector, says Tony Marshall, tax principal with Crowe Horwath's Dunedin office.