FINANCE OF AUSTRALIA.

Taranaki Daily News, 19 August 1922, Page 5

FINANCE OF AUSTRALIA.

FEATURES OF THE BUDGET. REDUCED EXPENDITURE. By Teltgraph.—Pre-i Aam. —Copyright. Melbourne, August 18. The Budget estimated the revenue for the current year at £62.518,250. or £494,557 above' the expenditure. The Government proposes to create a sinking fund of a half per cent, on the total amount of indebtedness, with the object of redeeming the war debt. Such a fund would extinguish the debt in 50 years. The estimated expenditure on war pensions for the current year was £6,750.000, a decrease of £278,000. The reduction was due to the fact that the physical conditions of the pensioners on the whole had improved. Repatriation expenditure Was estimated at £1,771.000. a decrease of £321000, due to progress in the reestablishment of soldiers in civil life.

The Treasurer stated that the Washington Con f"’-' nee had made is possible largely to reduce defence expenditure, which was estimated at £4,945,000, compared with £6,642.000 last y«Mr. He foreshadowed the appointment of a commissioner to consider the re-classi-fying of the public service with a view to reducing its cost and showing better

efficiency. The Government proposes, as far as possible, to rely on the local market for the raising and conversion for future loans.

In his Budget speech Mr. Bruce foreshadowed taxation relief as follows: An increase of the general exemption from £lB4 and £156 to £2OO for all taxpayers, a reduction of the existing graduated income tax rates by 10 per cent., a reduction to companies on the flat rate from 2s 8d to 2s sd. the removal of the war surcharge of 20 per cent, on landtax, the removal of the entertainments tax where the admission is less than a filling, a reduction of the duty on galvanised iron, iron and steel wire, wire-netting, tractors, and a provision for- a bounty for goods. He also suggested a reduction of Parliamentary salaries from £lOOO to £BOO.