TAXATION PROPOSALS

Otago Witness, Issue 4028, 26 May 1931, Page 26

TAXATION PROPOSALS

GOVERNMENT’S INTENTIONS STATEMENT BY PRIME MINISTER. AUCKLAND, May 20. An announcement concerning the Government’s taxation proposals was made by the Prime Minister (Mr G. W. Forbes) in an interview. Asked whether he could indicate the nature of the taxation proposals to be placed _ before the House next session, the Prime Minister said the Government was waiting until the last possible moment before deciding upon the extent to which taxation would have to be imposed. He indicated definitely that Cabinet was not making any provision in excess of requirements and that the measures introduced ■would provide for the minimum of taxation required to meet the position of the country’s requirements. “ Only what is absolutely necessary to balance the budgetary position will be imposed,” said Mr Forbes. “ The time of introduction will depend upon the completion of the public accounts for the year. At the moment it is difficult to say just what will be required, but by waiting until the last moment we will be in a better position to know accurately what is wanted. Instructions have been given to have the completion of the public accounts expedited so that the Budget, with which the taxation proposals will be brought down, can be presented to Parliament as early as possible. I am unable, however, to say when the Budget will be introduced. The completion of the accounts depends to a large extent on the Audit Department.”

REVENUE DROP OF £20.000,000. AUCKLAND, May 20. There are no two ways about it; you cannot get a quart out of a pint bottle,” said the Prime Minister (Mr G. W. Forbes) in referring to the financial situation at the United Party welcome this morning. “Juggling with figures will not make two and two equal five, and there is no use trying to make it appear that there is a short easy road to a solution of the present depression. I feel certain that the people realise that with a revenue drop of 20 millions they cannot carry on at the same rate of expenditure.’ It was extremely difficult for a Government faced with these conditions to carry on with satisfaction to the people, but it endeavoured to do its best. What had been done was imperatively necessary to avoid possibly an even greater disaster.