INCOME TAX

Evening Post, Volume CXV, Issue 74, 29 March 1933, Page 7

INCOME TAX

PAYMENTS IN ADVANCE

It is announced by the Minister of Finance (the Et. Hon-. J s G. Coates) that arrangements have now been completed under the provisions of the Finance Act, 1932, for the continuation of the sale of income-tax certificates! at postal money-order offices throughout New Zealand on or after April 1. By buying- theso certificates month by month throughout the year, taxpayers can provide in advance for the payments of income-tax to be met in Feb'rnary, 1934, and in the meantime they will receive 3 per cent, interest on the amounts temporarily invested in the certificates.

The provision for the sa2o of these certificates was m.ido'to meet the public demand for spreading income-tax payments. Many people found it financially embarrassing to pay their tax in a lump sum on due date. In addition, the spreading of income-tax payments over the year assists the finance! of th% State as it obviates so much borrowing in anticipation of revenue.

On or after April 1, any taxpayer can go to any money-order office within New Zealand, pay in 19a 76, for instance, and receive a certificate which will be accepted for the value of £1 in payment of income-tax on due date next year. Certificates may be purchased for any amount being £.1 or a multiple of £1. The full value of any certificate or part of certificate. in excess of the,, amount of income-tax subsequently assessed will be refunded by the Post Office when certificates are surrendered in payment of income-tax. Accordingly there is' no need to wait until the income-tax assessment is received before buying certificates.

From June last to February of this rear, the period in which the certificates were on sale, certificates to the value of £127,500 were sold.