NEW TAXES

Hokitika Guardian, 11 July 1930, Page 6

NEW TAXES

NEW/ TAXES IX AUSTRALIA

(Australian Press Association.)

SYDNEY, July 9

The Federal Government’s new taxation and revenue duties have dealt a staggering blow to trade and industry. Leaders o'f commerce all declare that the new imposts must be passed on, further increasing the cost of living, and intensifying unemployment. Share values have slumped sharply on the Stock Exchange, the sellers lowering their, limits drastically in an endeavour to realise. 'Hie sellers anxiety to sell appeared to be genuine. Buyers, however, wanted big concessions. For example, brewery shares fell by from sixpence to Is 9d. Trading and industrial shares receded the most heavily, and touched the lowest levels for many years. The Bank of New South Wales shares fell os to £37 15s, and the Commercial Bank of Sydney shares 4s to £l9 15s. Tlfe J 'htafket' for gilt-edged was extremely quiet, sellers having to face small losses. . ' The motion picture, distributors declare that, the taxation of their industry lias reached breaking point ; and that the extra penny a foot on film 'means an extra . £2OOO per - week, or £112,000 a year. A leading accountant stated the - direct and indirect Federal taxation for, the current year amounted to “over finkjcfninei millions sterling. Report's anlving from all States contain most ' hitter protests against the taxation proposals and as to dire effects"Di'ete are likely to have upon trading communities, seven mill ions.- r . ■ - - -- WHOLESALERS. .REBELLIOUS. SYDNEY, July 10, An agitation has begun in Adelaide, and Brisbane for a united businessmen's organisation so as to frustrate the Federal Government’s attempt to enforce the taxation measures. According to one manufacturer, the pleasures are likely to put half the wholesalers in Australia out of business. The shareinarket in Melbourne slumped. ' NEW ZEALAND NOT AFFECTED. • - SYDNEY. July 10. . f !” Minister for Customs. Eon toil,;' states that the new cus 'mils and • excise duties will not effect '•• ;iy roods' 111I 11 ' 11 produce or manufacture of. New • Zealand. MR ,8 CULL IN’S FURTHER PLANS CANBERRA. July 10. The Prime Minister, Hon. J. 11. Seullin, announces that the Australian Loan Council; must secure overseas not less than thirty millions in the near future-in order to clear up the London position. A failure, lie says, to make such provision will lend to an embarrassing position. Mr Seullin further states that it is not proposed to extinguish the accumulated deficit of six and a half millions of taxation. It will he covered by means of a. loan appropriation of seven millions.

‘FINANCIAL TIMES” COMMENT LONDON. July 10.

The “Financial Times” is greatly hopeful that nothing will now occur in the industrial sphere in Australia to derange'the revenue yield expected by Mr Seullin. It says that an appreciation of the heavy burden of taxation imposed will find a quick expression in London in connection with tbe loan that is necessary to stabilise the

position. Such loan, says the “Financial Times,” may he regarded, under the present conditions, as being not extravagance, hut. as necessary to give the a financial buttress for the essential fructification of its plans. The “News Chronicle” confines itself to an adverse comment upon the value of protection from the fact that Australia has been reduced to a desperate expedient, such as the sales tax, after vears of energetically protecting herself.