PROFITS AND TAXES

Evening Post, Volume CXXIII, Issue 135, 9 June 1937, Page 14

PROFITS AND TAXES

THE CASE FOR EQUITY

DUNEDIN, This Day. Addressing snarenolaers at the seventh annual meeting oz the Dominion Jrertiuser Company .yesterday, T?.* cnairman of directors, Mr. H. U. Hudsohi,said that Irom 1933 onward sales had "increased at a steady rate. Sales for the year ended March 31, 19isY, had eclipsed the record year of 1936 and had again set a of new business, the increase over 1936 figures being 3500 tons. Likewise the profit of £16,338 18s 6d, an increase of £790 over last year, .is the largest in the company's history. -

With the balance brought forward there was available for appropriation £17,055 19s lid, and after payment of a dividend of 5 per. cent, and other, deductions, there would be left a sum of £1028 0s lid to be carried into the current year's accounts. "During this company's short history," Mr. Hudson said, "it may interest shareholders to know that dividends paid, including the dividend recommended for payment today, have amounted to £39,692. During the same period the company has paid or is liable to pay income tax amounting to £29,606. In other words, for each £1 paid to shareholders the Government has benefited to the extent of Ks. In truth I may say that the Government is interested in this business —and.in .everyone's business—and yet it takes no responsibility. That is left for shareholders. "I understand that the Government is at present considering the possibility of alterations in methods of taxation. I trust that it will consider the benefits which will accrue to the whole Dominion if the incidence of company taxation were fixed on a more equitable basis than the present method."