TONIGHT'S BUDGET

Chronicle (Levin), 19 August 1948, Page 6

TONIGHT'S BUDGET

Press Association)

People Looking For Easing In Taxation )

(Per .

WELLINGTON, August 15. "The various sections of tlie eommuirity are looking for some easing in the load which they havfe carried during the war and sinc.e, but, unless the Government decides to reduce its high rate of expenditure, taxpayers will get little, if any relief," said the president oi the Wellington Chamber of Commeree, Mr. Gordon Stewart, in a pre-Budget statement last niglit. " ' "Taxation concerns every individual in jtlle eountry. The cost per> head of population last year was £(57 9s 2d. Aiore than usual iuterest attaches this year to the presentation of the Budgei for the ensuing year because it is whai the Government proposes to spend which. will be the guiding factor in the determination by the Government of taxation to be collected. "At oue time, taxation alfected oniy t liose on big iacomes and companies, but today the el'fect Of the poliey of Jiigh taxation is felt by everybody. ' • lt is of vital iuterest to every taxpayer in tlie eountry, and it is advisable tliat we should consider where tln; inoney eoines from, the aniount *ot inoiiey passing • through the account, and how it is spent. "In 15)4(5, taxation eredited to the Consolidated Fund ' was £48,000,000, whilst further taxation for speciaJ wai purposes was eredited to war expense-. In .1 048, taxation eredited to the Consolidated Fund was £9(5,000,000 — doublo the aniount for 15)4(5. Government Trading "Iuterest recoveries and prolits from Government trading increased during these years from £*5,980,(100 to £7,170,000. It is, therefore, obvious tha. Ihe increased revenue lias eome aJiuost entirely from the taxpayers. Taxation payments per liead of population for the t'onsolidaled Fund increased from £28 to £53 in the two years. " It is important to Iiave regard as to how the Government has spent the inoney passing through tlie Consolidated Fuml, and how it proposes to spend it

in the next linaiieial year. "The cost of our social services* has increased in two years from £21,000,000 to £.'55, 000, 000 per anmini, in addition to tlie expenditure from the Gociat Seeurity Account, and the. net expenditure bv otlier departments has increased' from £7,000, 000 to £22,(500,000 per annum. In addition there is the Cust of stabilisation subsidies, £11,000,000. "Some of the following principal department inereases (net): — Prime Miuister's Department, from £41,000 to £145,000; External AfTairs from £208,000 to £(5:13.000; Internal Al'fairs from £(549,000 to £2,912,000; I.abour and Kmployment, from £314,000 to £778,00; .Uaori Altairs from £275,000 to £433,000; Police, from £730,000 to £5)53,000; Maiu llighwav maiiiteiiance, from £2,174,000 to £3,404,000. ' '