No Taxation Relief in Sight

Sun (Auckland), Volume 1, Issue 113, 3 August 1927, Page 1

No Taxation Relief in Sight

URGE OF ECONOMY UNABATED Deadweight of Dominion’s Indebtedness w (THE SUN’S Parliamentary Reporter.) WELLINGTON, Tuesday. HALF-A-DOZEN facts of the first importance to everybody in the country stand out prominently in the Financial Statement presented to Parliament last evening by the Minister of Finance, the Hon. W. Doivnie Stewart. The first of these is that the total income of the State from all sources amounted to £24,943,107 —an increase of £217,345 over the preceding year’s revenue, and £676,907 better than the sum estimated. Next is the Minister’s assertion that economy was strictly pursued throughout the year with close control of all departmental expenditure, thus securing a saving of £437,667. There is to be no reduction in taxation and apparently no prospect of any for some time to come, the Minister saying that in view of the fact that 30 per cent, of all taxation must go to the payment of war-debt charges and warpensions. “It will be clear to all that any further substantial reductions in taxation are out of the question until good progress has been made in reducing this deadweight portion of the debt. The surplus for the past financial year amounted to £587,142. Substantial provision is to be made for the relief of unemployment and in addition to this the Minister proposes to ask for authority to appropriate £500,000 for Public Works. Adjustments have to be made in the Customs Tariff and some correction effected in the graduation of the income tax. The estimated revenue for the current year is £24,676,900 and the estimated expenditure is £24,498,549, leaving available for supplementary estimates £178,351. The statement, of accounts for the past year, compiled from the Minister’s figures, is as follows: — REVENUE Direct Taxation .. £ |r74’lll indirect Taxation Total Taxation 16,904,687 General Revenue 8,038,420 Total £24,943,107 EXPENDITURE War Pensions and Debt £ l’kol’ooo Ordinary Debt Charges t’llf’SSo P. and T. Working Expenses 2,343,000 i n uca°tion and Superannuat,on •• - .v;;;;:: ffiSSS 5 “? d Hospita,s ::7: .V : .v.:: Law and'Order . " .... 597,000 Railway Subsidies 1121000 All Other Purposes 3,121,000 t Total Net Expenditure £24,356,000 i The surplus was £587,142. For the purposes of simplicity the Minister quotes f round figures in his itemised expenditure. The total expenditure is actually £35 * less than the aggregate of the items given.