MORE REVENUE.

Taranaki Daily News, 15 October 1920, Page 5

MORE REVENUE.

NEW DEATH DUTIES. DEMANDS ON THE TREASURY. 8y Telegraph.—Press Association. Wellington, Last Night. In the House of Representatives tonight a Bill to amend the Death Duties Act was brought down by GovernorGeneral's message. Mr. Massey said he 3i<T not wish that the impression should get abroad that this measure wae brought in to meet the position created yesterday by the decision to give a butter subsidy. The Bill was really intended to strengthen the finances of the Dominion, the demands upon which during the past three months had been so enormous, and many of them bo unavoidable, that something further must be done to meet them. The increases were, based on a sliding scale, and he thought they would prove not unreasonable. Esta'to duty at present was fifteen per cent, and under the Bill it was twenty per cent. The operative clauses dealt mainly with succession duties, and he proposed to (have a comparative table prepared which would show members at a glance what the proposed changes are. Roughly speaking, he anticipated getting from £200,000 to £250,000 addii tional revenue from these dhanges. The Bill was introduced and read a first time. 1 DETAILS OF THE BILL. INCREASE'S IN THE DUTIES. (By Wire.—Parliamentary Reporter-) Wellington, Last Night. The Death Duties Bill introduced tonight prescribes new rates of estate duty, succession duty, and gift duty, increases being made in each case. The estate duty is to commence to be charged when the final balance of the estate exceeds £IOOO. „The present exemption is £SOO. A comparison of the schedules gives the following result:— Duty. Balance of Estate. Old. New. Per Cent, Per Cent. £SOO to £IOOO 1 £IOOO to £2OOO 2 1 £2OOO to £3OOO 2i 2 £3OOO to £4OOO 3" 3 £4OOO to £SOOO 31-3 4 £SOOO to £OOOO 3 2-3 4 £6OOO to £7OOO 4 5 £7OOO to £BOOO 4 1-3 5 £BOOO to £9OOO 4 2-3' 0 £9OOO to £IO,OOO 5 6

The present scale continues to rise and reaches 7 per cent, on an estate of £20,000 to £25,000. The new rate for such an estate is 9 per cent. The present rate on an estate of £30.000 is 8 2-3 per cent., and the new rate is 14 per cent. The present rate on an estate of £BO,OOO is 102-3 per cent,, and the new rate is 17 per cent. The maximum rate of estate duty under the present law reached on an estate of £14,500 is 15 per cent. The new maximum is 20 per cent., reached on an estate of £IOO,OOO.