TAXATION COMPARED.

Manawatu Herald, Volume XLVI, Issue 2705, 8 March 1924, Page 3

TAXATION COMPARED.

NEW ZEALAND’S POSITION

Wellington, March 5. Regarding a statement made by the Chancellor of the Exchequer in the House of Commons a few days ago with reference to the amount of taxation collected per head in the different countries of the Empire, in which Mr Snowden said that the taxation in Britain was £l4 8s per capita for 1923-1924, New Zealand £l2 5/3 and Australia £ll 5/-, Mr Massey said: “I cannot speak for other countries, hut as far as New Zealand is concerned this statement was far from correct. The figures were intended to refer to this financial year, 1923-24 hut the Chancellor has not included the million and a-half per annum by which taxation was reduced last session. He has nlso left Maoris out of his calculation very improperly as T think, because the Maoris are taxpayers just as Europeans are, except that land tax paid by a native landowner is not so heavy as land tax paid by a European landowner, hut T venture to say that the average Maori pays just as much—probably more —by the way of customs taxation as the average European taxpayer. A reference to the last, financial statement will show that taxation per head in New Zealand at March 31 last was £ll 17/8. It is considerably less now but how much it is impossible to say accurately until after the eml of the. financial year. It is somewhat difficult. to compare the two countries of Australia and New Zealand because our financial year ends on March 31, and the financial year in Australia ends on June 30, but we can get. sufficient data for the purpose. In Australia there arc two taxes —Federal tax and Stale tax, leaving State income tax out of consideration altogether for the time being, is 7/8 in the pound. The maximum income tax in New Zealand is 5/10 2-sd. Tn addition to the Federal or Commonwealth tax, there may he added, by way of State tax, in New South Wales 3s in the pound, Victoria 1/2 in the £ South Au>irn!ia 2/3 in the £, Queensland 3/7 in the £, Tasmania 1/3 in the £, Western Australia 4/7 in the £. In New South Wales, Victoria and South Australia a. reduction is made when income is derived from personal exertion —that i- from the earning of taxpayers resident in Australia. A most reliable man called to see me ou business a few weeks ago. lie told me that liis firm is paying over 12/- in the pound at present. From personal knowledge of rates of taxation in other countries, T have no hesitation in saying that New Zealanders are well off as compared with the citizens of other parts of the Empire.”