FINANCIAL PROSPECTS.

Auckland Star, Volume LIII, Issue 101, 1 May 1922, Page 4

FINANCIAL PROSPECTS.

PRIME MINISTER'S COMMENTS. REDUCTTOX Ef EN'COME TAX RECEIPTS. (3y Telegraph.—Special to •■Su.\"l WBLLJXGTOX, this day. "■ Absolutely sound," was the reply oi the Prime Minister when your corr*i epondent inquired if he could give furi ther indications of the Dominion , * 1 financial .position. Mr. Alassey was not willing to disclose at the moment the actual differences to !>c shown betweeu income and expenditure for the tinancial yea r just ended, but he showed his satisfaction with the position by the remark I quoted. '"We liare passed through many i difficulties," he continued, "and the year OD which we have entered is going to be , a moet difficult year. We have got the land tax and the income tax in very well indeed, but I cannot help thinking frara ! indications which have come under niJT notice, that a further reduction in income tax is likely during the current year—reduction in receipts I mean. A* for reductions in income tax, that is a matter for the future." The Prime Minister agreed with an observation that the success of the recent loan will lighten the Government's difficuHies during the winter, and, in reply to a question, said tiiat 'the money would be used for reprodue'tive works, including the purchase of machinery, rolling stock, and electrical equipment. "The result of that loan was very patisfaetoryv' he added, "but I 'believe that when it becomes necessary to again go on the London market for money, which I hope will not be during the present financial year, we shall (jet money even cheaper than we did the last loan."