SECURITY & TAXES

Wairarapa Times-Age, 3 September 1938, Page 4

SECURITY & TAXES

ATTITUDE OF THE BUSINESS COMMUNITY VIEWS OF.MR. J. H. CUNNINGHAM. NEW IMPOST ON COMPANIES MOST UNJUST. “With regard to the social security proposals,” said Mr J. H. Cunningham, general manager of the W.F.C.A. Ltd, this morning, “I do not suppose there is any business executive who does not desire some extension of benefits, particularly to those in more or less poor circumstances, but in the present proposals which are before the House there are many features which do not appear to be satisfactory and the financial weight may wreck the whole scheme. The present legislation does not appear to aim at fostering individual effort or the wish to place something away for a rainy day and it will become increasingly difficult for individuals to build up some little reserve to provide some comfort for their ok**M age. It seems to me that the trend of recent legislation is inclined to create a gulf between the employer and employee and capital and labour. When all is said and done, a very large percentage of our population are capitalists —maybe in a small degree only. A worker who is building up a little bit of funds in the form of savings in the Post Office Bank or is paying-off a house is a capitalist and he .deserves more protection than he appears to be getting with the burdens that are being thrust upon him. It seems to me that the capitalist has a place in this world and providing the money is being spent in a productive manner and is giving the necessary return and employment to the worker he should be encouraged. I would like to suggest to readers that they should read and study a small publication which can be procured at almost any stationer’s, namely, ‘The Confessions of a Capitalist,’ by Mr E. P. Benn. The introduction of.the graduated land tax has placed upon large companies a tremendous burden and in many cases an unjust one. The reintroduction of the land tax, if for the purpose of cutting up farm areas which are capable of subdivision and would thereby further production may be warranted, but to simply arbitrarily impose a tax of from Id in the £1 to 6d in the £1 against businesses places them in a most unfair position. The latest proposals to tax companies a Is in the £1 . on the available profits is most unjust ' and will hit the shareholders in most public companies and an examination of the share registers will indicate that in most companies the holdings of shares are by people of comparatively small means. The whole trend of the present legislation,” said Mr Cunningham, “is going to frighten away the introduction of future capital into industry and must react against individual workers.”