UNCHANGED TAXES

Wairarapa Times-Age, 7 September 1938, Page 6

UNCHANGED TAXES

LAND & INCOME RATES ANNUAL BILL SUBMITTED TO HOUSE POSITION OF COMPANIES (By Telegraph—Press Association.) WELLINGTON, This Day. The rates of taxation which have been in force during the past two years are to be continued during the current financial year, according to the terms of the Land and Income Tax (Annual) Bill, introduced in the House of Representatives by Governor-Gen-eral’s Message yesterday. The taxation rates are set out as usual in a schedule to the Bill which is precisely the same as that passed last year. With regard to land tax, it is provided that where the unimproved value on which tax is payable does not exceed £5OOO the rate will be Id for every £l. Where the unimproved value on which tax is payable exceeds £5OOO the rate of tax will be Id in the £l, increased by one-eight-thousandth of a penny for every £1 in excess of £5OOO, with a maximum rate of 6d in the £l. The existing income tax rates are also re-enacted. Income from debentures will be taxed at the rate of 4s in the £1 in cases where the income has been derived from debentures issued by a company before August 28, 1923, on terms providing for the payment of income tax by the company and at the rate of 6s in the £1 when income is similarly derived from debentures issued by a company after that date. In every other case of company debenture income, the rate is 8s 2d in the £l. Income from debentures issued by local or public authorities will also be taxed at the rate of 8s 2d in the £l. In respect of all other incomes the following rates will apply: Where the income on which tax is payable does not exceed £5500 the rate in the case of companies and public authorities will be Is on the £l, increased by onehundredth of a penny for every £l, and, in the case of all other taxpayers. Is 2d in the £l, increased by onehundredth of a penny for every £l. Where the income on which tax is payable exceeds £5500 the rate in the case of companies and public authorities will be 5s 7d in the £l, increased by one 150th of a penny for every £1 in excess of £5500, with a maximum rate of 7s 6d in the £l, and, in the case of all other taxpayers, 6s 3d, also increased by one 150th of a penny for every £1 in excess of £5500, but with a maximum rate of 8s 2d in the £l. The existing provision for increasing income tax of 33 1-3 per cent in respect of unearned income is retained in the Bill. The Bill was read a first tirhe.