The Legislation Introduced

Evening Star, Issue 23382, 27 September 1939, Page 4

The Legislation Introduced

£9,750,000 NEEDED THIS YEAR 15 per cent. Increase on Income Tax Beer, Spirits, and Tobacco Duties Raised POSTAL SURCHARGE OF Id [From Our Parliamentary Reporter.] WELLINGTON, September 26. How New Zealand will finance its war effort was explained to the House by Mr Nash, Minister of Finance, when the Customs Resolutions and the War Expenses Bill were introduced. The estimated expenditure on the war for the remainder of the financial year is £9,750,000. This includes the completion of five new air training centres. It is intended to raise by additional taxation operative this year the sum of £2,400,000. These increases comprise a 15 per cent, increase on income tax, which has been assessed for this year; increase in the duties on beer, wines, spirits, tobacco, cigars, and cigarettes; a postal surcharge of Id per letter; increased death and gift duties; and the taking of 75 per cent, of any appreciation in the price of gold over that quoted on August 25th last. The new taxes, plus appropriations from current revenue totalling £3,320,000, still leave £4,142,000 to be provided, and the Minister of Finance explained that he is obtaining authority to borrow £10,000,000. This will be done through the Reserve Bank, but in reply to Opposition questions he declined to state what was the- amount which would be raised in this way. Power is also taken to borrow from the Imperial Government the money which may be expended overseas if New Zealand soldiers are sent out of New Zealand.