LETTERS TO THE EDITOR

Chronicle (Levin), 9 July 1947, Page 2

LETTERS TO THE EDITOR

BUSINESS FOUNDATIONS Sir,— What are. the foundaiions of a good business? Managerial ability with energy to use it and personal. integrity in all one's dealings. But there comes a time when ihe owner of shop, farm or garagc wishes to know whether his efforcs are bringing him in a profit or a loss. More to the pcint, ihe Com - missioner of Taxes will wish to know this tco— insists on it, in fact. This profit and- loss fhidiiig is no a simple matter;, it is one for an expert. Ignorance will confuse maintenance expenditure deductible from yearly expenses, with capital expendi-ure, on which only two or three per cent. deduction is allowed. ±11 a community there are physicians to heal, lawyers to advise, men of greater experience, maybe, ro help with counsel, but ihe bedrock upon which they all •est is the accountant. A farmer -.n this district- had for years beeri .ceeping his own books, sending in :eturns of income and usually payng taxes well • over three figures. Two years ago he took his. ledgers and latest assessment to a taxation consultant; Result : over £20 ' saved in iaxes for the one year. When an expert in accountancy :omes to this busy place, he should be a great asset 'to the community md the dis.rict richer in saved jxpenditure. Yours etc., ' 'LOMB ARDI AN . " Otaki, July 7. .