The Little Taxes.

Hutt News, Volume 1, Issue 14, 7 October 1927, Page 5

The Little Taxes.

To draw a cheque for any amount costs twopence in taxation. To post it in a sealed envelope costs one penny .To give a receipt for an amount of two pounds or over costs twopence. To post it with a letter of acknowledgment costs one penny more. Total, sixpence. These pettifogging taxes should be abolished or reduced. Though small in detail they are large in lump, and constitute a charge upon trade which should be abated without further delay. The cheque tax ought to be abolished altogether, and the receipt stamp also, save, perhaps, for amounts of £10 and upwards. There is something to be said for a graduated receipt stamp which would act as a small tax on profits, levied in a form which would hardly be felt. There is no defence possible for a tax which imposes a uniform charge of twopence upon a receipt for £2, £200, £200,000, or £2,000,000. The Post Office makes a big profit on the collection and delivery of letters, and this should be given directly to those who contribute to it. To hand it over to the Treasury, to be used for other purposes, is unsound finance, besides savouring of prifiteering. Government trading ought not to be pursued for the sake of profit, but for the benefit of the people. To use a State monopoly in order to make money is to open the door to abuse. Economy and efficiency of administration may justify a monopoly, but if it is used merely to extort high charges, we may expect extravagance and inefficiency to follow. The sound policy for any Government or municipal trading department to follow is to aim at a level balancing of its accounts. A private undertaking is on a different footing altogether. To attempt a mere balance would in a private business frequently result in loss. But for a State Department to show a loss on working, in any given year, is to promote increased efficiency and economy in the following year. And this, is the only result worth working for.