NO NEW TAXES

Rotorua Morning Post, Volume 2, Issue 317, 2 September 1932, Page 5

NO NEW TAXES

(Press. Assn.-

federal ffnances HEAVY CUTS IN SALARIES OF MINISTERS AND MEMBERS CIVIL SERVICE ALSO

-By Telegraph — Copyright).

Rec. Sept. 10.35 p.m. Canberra, Sept. 1. In the House of Representatives, the Prime Min'ister and Treasurer, Mr. J. A. Lyons, said tl\at the year 1931'-32 had closed with a surplus of £1,314,091. Revenuo amounted .to £58,648,528, and the exipenditure to £57,334,437. . Mr. Lyons lannounced -that there would be no new taxation, but the following economies would be effected: Ministers' salaries reduced by 30 per cent., the salaries of Members of Parliament rieduced by 25 per cent, Federal public servants' salaries reduced by £8 per year on account of the fall in the cost of living, old age and invalid pensions, for the same xieason reduced by 2/6 per week; the maximum hereafter to be paid to pensioners to be 15/- weekly. The maternity bonus, which is now £4 is to be restricted to families wbere the income is less than £208 per year instead of £260 as at present. Th'is will save at least £60,000 per year. Mr. Lyons also expects to make the following savings: — £1,100,000 per year on pensions, £5000 on Ministerial and Parliamentary salaries, £240,000 on public servants' salaries, £44,000 by the reduction of the wine bounty, £30,000 by suspending tbe gold bounty unless the price of gold falls below £5 per oz. This would make a total saving of £1,479,000. The expenditure next year would be brought down £2,930,585, and a surplus of £12,000 sterling is anticipated, but this would be turned into a deficit of £4,900,000 if Australia had to resume paying interest on British war debts this year. Mr. Lyons said that tariff reductions would be made during the year and the saies tax lifted on certain goods with the idea of giving relief to primary producers. Naval, military and air force aetivities would be continued along the usual lines. A committee would report upon the air mail contract existing and contemplated, and it was expected that the war pensions would be nearly £500,000 less during the current year.