THE INCOME TAX

Dominion, Volume 11, Issue 175, 13 April 1918, Page 10

THE INCOME TAX

Sir, —Taxation is always quite objectenable, and in the nature of tilings can never be quite equitable. The only tax that one cannot Jiud fault with, and on quite substantial jjrouudß, too, is the tax that is proposed, never one that is imposed. Until it was collected, the butter-fat tax was most admirable,- but by the time it reached the Treasury its nature had entirely changed. Why this should be so is not easy to understand. Of course every tax is reasonable and proper to those who are not required to pay it, and to them only. It seems to me that in order to fairly judge of taxation it is v of no use t<T make comparison with taxation which is merely talked about, but only with such" as has been or is being imposed. For this reason probably the following extract from a letterwritten by a young married man in Sydnoy may bs of value :— "You mention that in New Zealand there is ah exemption for income tax of £300. Here we have the pleasure of paying two separate income taxes — Federal and State' _ For the Federal taxation every married man earning more than £126 per annum pays something like sixpence in the £ (I think that is tlie figure up to £500). and the single men have their exemption at £100. There is a base or flat rate to start with of £1; and if I earn £127 they would not charge me sixpence on the single £, but the minimum charge of 20s. The State tax starts off with an exemption of £250, though 1 believe it to be reduced to £200. '

Our taxation is heavy, but, looking at it from the point of view of the many or the few. have we really much excuse for grumbling?—f am, etc., TAXPAYER.