FIGURES WELL OUT

Chronicle (Levin), 17 August 1946, Page 5

FIGURES WELL OUT

-Press Association

Bv Telearavh-

AUCKLAND, August 16. The removal of saies tax from drapery and furnishings would make a terrific differenee to the saies tax as a souree of revenue and he could not ! understand Mr. Nash's estimate for the current year of a loss of a little over £700,000, said Mr. R. C. MacKay, the general manager of the Farmers' Tradin g Co., Ltd., this morning. The Government could not possibly get £14,250,000 from saies tax in the 1946-47 financial year when it got only £15,064,448 in .1945-40. Obviously the ligures were well out. A spokesman for the building trades and supply "firms said that while house- " building would be assisted by the saies I tax abolition on building materials ! prices would not be decreased by th.e ! 10 per cent. or 20 per cent. reduction, ! representing the amount of tax. The : reduction would vaiy, but it was not 1 expected to exceed 12 per cent. The ! inaster buildefs were franltly surprised ! that the entire amount of the tax was i

reinitted. They expected a reduction to 10 per cent. Importers and traders generally wrere pleased with tlie reductions in taxation, partieularly the abolition of the excess prolits tax, said the Bureau of Importers in a Budget statement. Traders in eommodities on which the saies tax was redueed and who were not registered as wholesalers under the Saies Tax Aet were perturbed that they will have to earry tlie loss in saJe^ tax. It was the Bureau 's opinion that the reduction of the war surcliarge on income tax was insufficient, and industry would remain stifled until company and individual taxation was further redueed.