WHEN SALES TAX ABOLITION STARTS

Chronicle (Levin), 22 August 1946, Page 7

WHEN SALES TAX ABOLITION STARTS

—Press Association

FURTHER EXPRANATION BY MR. NASH

By Telegruvh-

WELLINGTON, August 21. A elarification of the position rcgarding the exemption from saies tax of goods sold after August 15, was giveu in tlie Ilouse of Representatives today by the Ministcr of Finance, Hon. W. Nash, during question time. Alr. E. P. Adermau (New Plymoutli), iii au ixrgcnt question, asked thc Alinister of Customs for a statement of the position relating to clothing materials ordered prior to August 1 (> for delivery on August 20, payment being due 011 Septenxber .10, and oix which materials saies tax had been abolished as from August .1(3. Mr. Aderman said goods had been delivered ixi large quantities iu readiness for the spring season. Soiue iuvoices for siniilar goods comprising portion of tlie same order and included in tlie same delivery, included the saies tax. Others omitted it. 1 11quiries revealed that wliere tlie saies tax was c'harged it nxust be paid, Mr. Aderman said. Rctailers were await-, ing elarification as there would be hoiho coul'usiou in tlie niiiids of thc publie becauso of the dill'erent priees for siniilar goods. lion. \V. Nash, replying, said goods of the kinds or classes mentioned in ihe resolution presented to the Uouse on August 15, are exempt from saies tax it' sold by the wholcsaler after that date. "A salc is regarded as taking place when the property in goods passes from ihe seller to tlie purchaser and the question as to when tlie property passes m any purticular case, iuust be determined by rcference to the facts of that case," said the Ministcr. " I11 the ubsenco of any spociiic agreement 011 the poiul, the niutter is determined in accordance with tlie provisions of the oaie of Goods Act, 1903." In Ihe case mentioned by Alr. Adermaii, the goods were exempt from saies ia.v as property in the goods diil not pass uutil after August 15. The Minister said 110 saies tax was paynble on any goods delivered by the wholcsaler 1 to relailer 011 August 10 or after, 011 j goods cleared from the Customs ou| August 10 or after, or 011 goods dclivor-f ed by the mauul'acturer on or after August 10. 1 11 tlie case of goods des-l patehed 011 August 15 but not delivered j that day, there uas sume doubt but the Ministcr said he would make- a further j statement to the ilouse after tlie Jega, position in sueli cases had been further!. in vestigated. J