THE FIRST WAR BUDGET

Ashburton Guardian, Volume 60, Issue 223, 28 June 1940, Page 3

THE FIRST WAR BUDGET

GREAT INCREASE IN TAXATION TRANSFER OF ALL EXCESS PROFITS (Special to the u Guardian.”) WELLINGTON,. June 27 The first war Budget was presented to the House of Representatives by the Minister of Finance (the Hon. W. Nash) this evening. - Salient featlifes of the Budget follow: a New National Security Tax of Is in the £ on all income. Sales tax to be doubled, making it 10 per cent. Increased income tax, starting at 2s 6d in the £ on the first £IOO of taxable balance to a maximum rate of 12s in the £. Increased company taxation, rising from 2s 6d ih the £ to a maximum of 8s 9d. Increased tax oh debenture interest. A flat increase of 15 per cent, oh both company and individual taxation, td be credited to the War Expenses ( Account. Taxation of State trading concerns. A new scale of death and gift duties, with a big reduction in •exemptions, and increased maximum rates. Provision for a National Savings Scheme in conjunction with the Post Office Savings Bank. , Provision for compulsory loans from all who have the means. The volume of national works will be reduced, highways expenditure reduced than £4,000,000, and loan requirements for public works substantially reduced. Provision at a later stage for the transfer to the state of the whole of any excess profits made during the war.