WAR TAXATION

Dominion, Volume 8, Issue 2351, 6 January 1915, Page 6

WAR TAXATION

THE PRIME MINISTER'SVIEWS.' i Tbs Prime Minister does not considerit would be wise for.the Governmentto impose any special war taxation'for■■ the present. ; ' • .•' , "Our finances for war expenditure • have been practically, all' arranged for," ' said Mr. Massey, : discussing the question with a:Dominion l reporter yester-' -mi'i.- L S 011 ' additional revenue i 1 -x- aTe , *" collected, and possibly additional taxation imposed for the. purpose of paying interest and sinking fund on- the loan moneys' expended "for' war purposos, but it would be. very unwise, in my opinion, to attempt anything in the way of additional taxation just at present." , ; , , ■ \ _ Mr. George's statement in hia Budget speech that a period of inflated prosperity.could be expected while the war lasted, to be followed by bad times alter the war expenditure ceased, and' tuat ne therefore deemed if wise to impose extra taxation at once, was brought under the ; Prime Minister's notice. '.••,■, i " >■ •.

"That does not apply to New Zealand in the-same way. as it applies to England," Mr. -Massey replied. "Huge sums of money are being expended in Britain now on war supplies, and no doubt.there is a.certain prosperity in' consequence, but in the Dominions we oaat expect to do more than hold our own while, the war lasts. Any attempt to increase taxation now would interfere with the ordinary course of business, and would reduce somewhat seriously the amount of money that would otherwise be availahle for expenditure which would'keep our people em* ployed."- v ,