BRITAIN’S FINANCES

New Zealand Times, Volume XLVI, Issue 10613, 11 June 1920, Page 5

BRITAIN’S FINANCES

EXCESS PROFITS DUTY WHY THE WAR WEALTH LEVY AVAS DROPPED. THE NATION’S HUGE BURDEN. By Telegraph—Press Assn. —Copyright Reuter’s Telegram. (Received J unc 10, 10.50 p.m.)

In tho House oi Coiiimonis All' Austen Chamberlain. (Chancellor of the Exchequer) explained ahe Government’s decision not to impose a levy on war wealth. He pointed out that a 9 payment couldi bo made in Government seen lines the levy would inat materially reduce tho flotation cleO't-. He emphasised the fours of busmens men as regards the elicct of the Jovy, and stated mat an excess profits duty would produce twice as much. as -a levy in tho same period. He uow proposed Ho maintain tho excess profits ditty at 60 per cent, this year and continue the duty or its equivalent lor a longer period taau would otherwise liai/o been necessary. r Chamberlain paitj a warm tribute to th© manner in which the rich iiad nornc financial sacrifices* and gave figures showing that in some cases oiny about 5s in the pouhd was left to recipients of largo iucomtyj after taxes wore paid. No other country had attempted a financial effort comparable with Britain’s, and there was no other m which well-to-do-xieople were so heavily faxed.’

Illustrating the financial recovery of Britain, Mr Chamberlain referred to th© rise in tho dollar 1 exchange, and stated that we wero im a position to buy our half of the Anglo-French loan in America and to moeb all other martlet obligations of the 'Treasury in the United States to tho end of 1920/ with a satisfactory margin. Our debt of one hurared million dollars to Argentina will be redeemed in a few- days, and the loan of J.vcuty anillion yen in Japan, would be paid off in a month, wnde provision had been made at home fer the reduction of the debt by 230 millions sterling this . year, and"'3oo Turnons next year Without additional taxation.