TAX REVISION NEED

Auckland Star, Volume LXXIV, Issue 301, 20 December 1943, Page 5

TAX REVISION NEED

STOCK EXCHANGE VIEWPOINT

"While all our war loans to date have been very successfully oversubscribed, the taxation question is steadily hecominjr more and more prominent, and it is not unlikely that the time is drawing near when some responsive action must be taken in answer to the constant call for taxation revision," said Mr. Andrew Hamilton, chairman of the Wellington Stock Exchange, at the annual meeting.

"While existing conditions rule with money looking for Investment which under normal conditions would bo employed in W»din„, It is llkelv that the sharemarket will find buying support tor some time to come with present prices maintained, if not increased, but the wise investor will know. that controlling factors neve» remain permanent]}' the same,' said Mr. Hamilton "The wheel Is constantly turning, with depression followed by prosperity, low interest, rates succeeded by higher rates, extravagance followed by poverty, and in the search,, to-day for some investment care and judgment, are called for All investments require a periodical overhaul and particularly to-day should prospective purchasers avoid high prices in companies which through excess profits and other taxation are prevented from setting aside adequate reserves for renewal of machinery and other future calls to be faced on a reversion to fieace time trading. "In reviewing the past year from the point of view of finance," Mr. Hamilton concluded, "It is again- disturbing to note the even more pronounced artificial prosperity. , Tile absence of well-stated and. explicit appeals to the general public, both old and young, particularly the latter, to economise and save their money, is to be deplored. Savings are the only real safeguard for the future, and it Is to bo hoped that the people of this country will realise this fundamental truth before It is too late."