RAISING OF REVENUE

Sun (Auckland), Volume III, Issue 754, 29 August 1929, Page 7

RAISING OF REVENUE

TAXATION COMMISSION’S PROPOSALS QUESTIONS IN HOUSE (The SUN'S Parliamentary Reporter) i PARLIAMENT BLDGS., Wed. Other means of raising revenue were referred to in the House of Representatives today when questions on taxation were asked. Mr. C. L. Carr (Timaru) asked the ■ Prime Minister, Sir Joseph Ward, whether he would review the findings j of the Royal Commission of 1924 on land and income taxation with a view i to putting its findings into operation as regards the substitution of individual taxation for company taxation, and, further, in the direction of taxing dividends and profits from investment generally. Sir Joseph Ward replied that the Government had considered the report, but was of opinion that for financial reasons alone the present was an inopportune time for putting the recommendations into operation. The proposed changes in the incidence of taxation -were so sweeping in their effects and involved such a large loss of revenue that it was not feasible seriously to consider them at present. Mr. Carr stated he had made particular reference to the substitution of individual taxation for company taxation, and in this respect he considered the country would gain rather than lose revenue. Mr. H. S. S. Kyle (Riccarton) asked the Prime Minister whether his attention had been drawn to the deficit of over £2,000,000 in the Australian Federal Budget and to the proposal of that Government to reduce the deficit by imposing a super tax of 10 per cent, on taxable individual incomes exceeding £2,000. Sir Joseph Ward replied:—“lf the question is intended to hold up these proposals as an example to the Government, I have to point out that the Reform Government in 1927 increased the income-tax payable on incomes from £450 to over £B,OOO. The present Government’s taxation proposals are set out in the Budget and these are deemed to be sufficient to meet the country’s present requirements.”