DOUBLE TAX MUDLE.

Auckland Star, Volume XLVII, Issue 68, 20 March 1916, Page 6

DOUBLE TAX MUDLE.

SUGGESTED WAY OUT. COMMITTEE AT WORK. (Received 8.30 ajn.) LONDON, March 19. The committee appointed to consider the question of double income tas— levied in the Dominions and again in Great Britain —is conferring on the question whether first of all they should.approach Mr. W. M. Hughes (Premier of Australia) or submit a proposal direct to the Chancellor of the Exchequer (Mr. K. McKenna). Meanwhile the committee is preparing a memorandum for presentation to members of Parliament before the introduction of the Budget, pointing out that Australia and New Zealand have their own war taxes, and that it is considered unfair that the same individual should pay two war income taxes. The committee will suggest that the tax ought only to be paid where earned. Some members of the committee suggest a scheme by which payers of double taxes could be divided into two classes —"A," Britishers who have never left England but invested money abroad, and "B," Australasians who have migrated to England. It is estimated that the latter pay £2,000,000 in England, while the former probably ten times that amount. They suggest a scheme by which the Imperial Government agrees to forego the tax on "B" class, while the "A" class will pay the tax in one country, and that the amount be divided between the Commonwealth and Great Britain. It is feared that if some arrangement of this kind be not made "A" class may withdraw its capital, as many are now paying more than 10/- tax on their overseas income. It is understood that Mr. McKenna and Mr. Hughes are both strongly disin-, clined to forego any tax during the war.