WAR FINANCE.

Stratford Evening Post, Volume XXX, Issue 62, 17 June 1916, Page 4

WAR FINANCE.

The Budget delivered in the House of Representatives by the Rt. Hon. Sir Joseph Ward is an interesting statement, disclosing as it does, the figures of last year’s operations and the proposals for raising the very large revenue required in the corning year. The great iteni appears to be a proposal to borrow £12,000,000 in Britain for war purposes. As it is also proposed that an embargo be placed on all money leaving New Zealand “except | for legitimate trade purposes,” one is apt to wonder whether we are not asked to take a course of selfish regard for our own interests first and foremost, and those of the Empire !in the second place. The provision to ' acquire 45 per cent, of the profits jirealised by war conditions- is one on l which Sir Joseph Ward is to be thorI oughly congratulated, but great care I will have to be exercised in seeing that there is no shirking in this direction, and, that while honourable firms and individuals pay up as they justly are entitled to, others are permitted to escape. Another very well-meaning proposal is that a tax of 5 per cent, be placed on all incomes exclusive of those obtained from war profits. We entirely agree that all incomes now taxable should pay more, but while, so far as the smaller incomes are concerned, 5 per cent, is a fair charge, would it not be equitable to raise the

pei 1 centavo as the incomes increase ? it there is justice in the ordinary impost, which is on a graduated scale, surely the same method ought to be aplied in raising the extra war revenue. It occurs to us that a simpler and more equitable plan would have been to have increased the charge by 2b per cent—or whatever per centage might bo decided upon—on all income-tax payable. One cannot but bo disappointed that more means are

not proposed for the taxation of luxuries, and we should think that through tho customs those things could have been made to bear a little more of the burden. It is, not, however, an easy matter to create a War Budget, and our sympathies are with Sir Joseph in Ids task.