REDUCTION IN UNEMPLOYMENT TAX

Evening Star, Issue 22147, 30 September 1935, Page 12

REDUCTION IN UNEMPLOYMENT TAX

EFFECTIVENESS BEGINS TOMORROW The promised reduction in the rate of emergency unemployment charge from lOd to 8d in the £ has now been gazetted, and' becomes effective to-mor-row, October 1, 1935. The date was given incorrectly in an earlier Press Association message. _ Employers are reminded that the reduction applies only to salary or wages earned on or after October 1, and does not affect amounts_ earned prior to that date, notwithstanding that the payment mav bo made after September 30. As an illustration, salary or wages paid for services performed for the week ending October 5 must be apportioned and the tax applied at the rate of lOd in the, £ to one-sixth of the remuneration, and at the rate of 8d in the £ to the remaining five-sixths. This reduction also applies to those instalments of the emergency unemployment charge on income other than salarv or wages which fall duo on or after" November 1. . The November, 1935, and the February, 1936, instalments will consequently be accepted at the reduced rate. , Taxpayers who paid the full year s tax in advance will be entitled to a refund, but applications for such refunds need not be made, as the Unemployment Board is arranging for the necessary adjustments to be effected as early as possible.