AN IMPORTANT CONCESSION.

Dominion, Volume 6, Issue 1799, 11 July 1913, Page 6

AN IMPORTANT CONCESSION.

• IN TAXATION. All thoso whose business demands any kind of or machinery are doubtless aware that the depreciation allowed annually is set down as an item on the expenditure side of the account, and as this amount is often a largo one, it is of serious moment in making up the annual returns for taxation purposes.. Hitherto the Land and Income Tax Department has only allowed 5 per cent, on the half value, but for years past -an endeavour has been mado to* induce the Department to increase the concession. Recently, Mr. H. F. Allen (secretary of the Now Zealand Ironmasters' Association) and Mr. A. T. Clark, auditor and accountant, waited on the Minister for Finance (Hon. Jas. .Alien), and explained the whole matter, and asked the Minister to look into the question. This the-Minister' has apparently done, and the following letter has now been received from the Commissioner of Taxes:—

" ; . . I have to inform you that for the future I havo decided to amend the allowance for depreciation of implements, utensils, and machinery, in assessments for income tax. Instead of confining the allowance to 5 per cent, on the ialf vvalue, as in previous years, I propose 5 per cent, on the full value, in cases where a taxpayer writes off that amount or over. This will bo in addition to the deduction of the actual expenditure or repairs and maintenance, and will apply to all cases where the depreciation is caused by fair wear and tear that cannot be mado good by repairs. The allowance for loss on obsolete or useless machinery .will, as before, be the actual loss when ascertained, less any annual allowances previously made." i "This," said Mr. Allen to a Dominion reporter yesterday, "is a most important concession to anyone running a machinery plant,'and is one which has been sought for a number of years past without success." Mr. H. E. leighton, land and estate agent, Pcatherston Street, Wellington, announces that ho has for sale two firstclass dairy farms, ono comprising 28G acres freehold land, and situated in tho Manawatu district, and the other of 91 acres, situated in the North Wairarapa. Messrs. Laery and Co., Ltd., wish to draw attention to tho extensive sale of plants, fruit trees, shelter trees, and shrubs, which will be held in their rooms on Priday, July 11, at 1,30 p.m., under instructions from Messrs. W. T. Benefield and Sons, of tho celebrated Aramoho Nurseries.