SOUTH AFRICAN BUDGET

Dominion, Volume 14, Issue 173, 18 April 1921, Page 5

SOUTH AFRICAN BUDGET

INCREASED DEFICIT DRASTIC ECONOMY NECESSARY By Telegraph—Press Association-Copyright Cape Town, April 15. Tn introducing thflxßudget in tho South African Assembly this afternoon, the Minister of Finance said that the deficit ?or the current year was less than was expected, and that only a quarter of a million would have to be carried forward to next year. Referring to trade, he foreshadowed more drastic dealing with profiteers. He said that middlemen figured too largely in the distribution of commodities. Experts’ reports indicate that the prospects of the iron and steel industry’ in South Africa were of the brightest; hut that the country’ is feeling the effects of trade depression. In reference to the new financial year, the estimated expenditure is £2a,815,000, four millions less than last year. 111 e revenue will be £29,543,000 an increase of .£832,000, due chiefly to the adjustment of salaries and wages, and unemployment exnenditure. , The deficit is nearly six million-, and drastic economy will be necessary to produce equilibrium. It is proposed gradually to eliminate the cost ot living allo ance to civil servants, and to curtail by half the additional members allowance of voted last year, and to'transfer the proceeds of the sales ofCrf for loan to the revenue. Letter postage is to be increased from lid. to .d. The income tax exemption is tobe reduced from £5OO to =£3oo; and the tax on companies will bo increased. Will be increased duties on spints beer, tobacco, and bioscope films. The G ernment has decided not to tax neces snries and has also rejected the pio a special committee to impose tax of I 2oper- cent boots and shoes.—Aus.-N .Z. Cable . -