TAXATION NET

Gisborne Herald, Volume LXVI, Issue 20129, 26 December 1939, Page 3

TAXATION NET

SPREAD TO CAMPS MILITARY PAY EXEMPT OTHER INCOME POSITION While members of the . Special Force are on Christmas holiday, inspectors of the Income Tax Department have been at the Papakura camp and other camps checking records of the men who are to serve overseas. It. is explained that the inspection was purely a routine matter under regulations relating to persons who are going abroad. No special demand has been made on men in camp for the payment of income tax for the year ended on March 31 last. The inspectors obtained the names of men going abroad for the information of the department in Wellington, as, if soldiers go abroad owing income tax, it is desirable that the department should know that they are not in the Dominion. Men are not liable for income tax on their military earnings. No exemption lias been announced on income earned prior to enlistment, or, indeed, on other income that is independent of military pay. Whether the Government will take steps to obtain payment of income tax for which assessments have been made, or cancel or suspend payment, is a policy matter upon which there has been no announcement.

It is reported, however, that demands for payment of assessed income tax were made upon some soldiers who left New Zealand a little time ago. They were required to pay before leaving, no distinction apparently being drawn between soldiers leaving on active service and other members of the community who leave the country for pleasure or business trips. In one instance a soldier was compelled lo communicate with relatives and obtain the necessary funds to satisfy the demands of the Income Tax Department before he was permitted to leave the country on his military duty.