INSTALMENT PLAN

Auckland Star, Volume LXXIV, Issue 302, 21 December 1943, Page 5

INSTALMENT PLAN

INCOME TAX PAYMENT DIFFICULTIES TO BE MET (P.A.) DUNEDIN, Monday. Referring to the latest statement of the Leader of th'e Opposition, Mr. Holland, concerning the "pay as you go" system of income tax payments, the Minister in Charge of the Land and Income Tax Department, Mr. Nordmever, stated to-day that it was difficult to understand Mr. Holland's contention that the majority of income tax payers in the Dominion demanded the introduction of the system. "It would be interesting to know the steps Mr. Holland has taken to consult the" taxpayers," he said, "and what justification he has for. asserting that the majority of them favour this "proposal. . "Has he ever consulted the employers to ascertain whether they have the staffs necessary to undertake the increased burden of collecting income tax,. as well as social security and national security taxes?" asked the Minister. "Does he realise that it is physically impossible to accommodate the extra Departmental staff necessary for the change, "It would also be interesting to know," continued Mr. Nordmeyer, "if Mr. Holland's advocacy of this scheme is in any way connected with the fact that some overseas countries have written off a year s taxation when the new scheme has been introduced, a move greatly to the advantage of the wealthy taxpayer. Whatever the advantages oi the 'pay as you go' system may be, it is folly to ignore the practical uitficulties in the way of introducing the change in wartime in New Zealand, where the circumstances are not entirely similar to those in the countries which have adopted the scheme or propose to do so. Mr. Holland, s airy dismissal of the difficulties does not make them any less real.