SALES TAX ON ESSENTIALS SHOULD COME OFF

Chronicle (Levin), 18 July 1946, Page 3

SALES TAX ON ESSENTIALS SHOULD COME OFF

I-'urnil ui'i' ;iikI [m i iuuliiihitrn- iikiiiuI'iii'l urt'r.s ;irc jiJc:im*iI -to sco puiilic opjiiiui) iniiltiiiig ti j > jigaiusl Ihe i-oii-limicd iMipusil inn nf saies ta.v on essunlitii liaes, as it iiai-Ks ti}) representat ions jnade Ity lliein (i Ihe (iov eniinent souti' I i i it e aj4>. stty> ;t joint siiitt'iui'iU by t ln; Neu keabtiKl l-'nniit t>rt' .M tuiufacl nrers ' Pedora.t ioti tiiid ihe JSew Zualaud J'erajtiintbilDr and Witrkenvorlt Manufacturers1 Federatina,. The nianui'acturcrs say tluit niu. aCtLug Minisler of -Customs, Mr.-Nordmj.',vei;? advised theni in April lasl tluit ihe Saies tax on furniture and peraiubulutors would evenlually be part of a review of the nhole saies tax posilion. "Furniture iind penuiduilators ure ainoug the I'eu tibsolule necessities of Jife which are charged with saies Lax at 20 jier cent., '' the slatenient. says, "and these two uOins.tu'c hitting the reLurned seiw icemtin particularly liard." Jteferrjug to furniture speciiically, the stalement points out that while rehabilitat ioti loans are helping exser\ iconien to get their iniinediate requlrenu'nts, a})}u,()xiniate!y only SD per cent. oi' the Joau represeuts actual value of articles })urchased, the balauce be'tng absorlied by the heavy rate of saies lax which has to be repaid with interest o\er i jieriod of years. "la fairness to furniture niituufac.turers and retaiiers it should l>e knowu that in recent inonths tliey have had to bear subslant ial cuts iit inark-u]) rates al the beliest of the Price Tribunal. As against. this, .saies tax, which coutributes very aj)})recial)iy to keejdng jirices up, is sl'.II awuitlng the Uovernment 's ' review' I'erambulalors and baby carriages botli carry ihe full 20 j >er cent. lax, the slatenient sa_\h, in rcferring to this as a "four shillings in the pouud lax against faniilies. As with furniture, rejiresentat io.ns to the Uovernnient to have this iiupost removed or redueed have brought notliing niore thau a prontise in A[uil lasl that the Perambuiators M;inufacturers ' Federatiou's submissions wnuld be borne in inind wlien the 'whole ipieslion of saies tax is review ed.' "