TAXATION.

Press, Volume LX, Issue 18015, 6 March 1924, Page 10

TAXATION.

COMPARISON OF RATES

STATEMENT BY MR MASSEY. (BPBCIAI, TO "TEE PBESS TVELLINGTON, March 3. f 'A statement was made by the Chancellor of the Exchequer in the House of Commons a few days ago with reference to the amount of taxation collected per head in the dilferent countries of the Empire," said Mr Massey to-day. ''On February 28tu, speaking in the House of Commons, the Chancellor of the Exchequer stated that the taxation in En'ain was £l4 8s per capita for 1923-1924, New Zealand £l2 os 3d, Australia,£ll os lid. I cannot speak for the other countries, but so far as New Zealand is concerned, this statement was far from correct. The figures were intended to refer to this financial year, 1923-24, but the Chancellor has not included the million and a-half per annum by \vl;\ch taxation was reduced last session. He has also left the Maoris out of his calculation, and very improperly as I think, because Maoris are taxpayer just as Europeans are, except that the land tax paid by a Native landowner is not so heavy as tho iari3 tax paid by a European landowner. But I venture to say that the averngc Maori pays just as much, and probably more, by way of Customs taxation, than the average European taxtinyefr. "A reference to the last Financial Statement will show that the taxation per head in New Zealand at March 31st last was £ll 17s Bd, and it. is considerably less now, but how much it is impossible to say accurately until after the end of the financial year. "It is somewhat difficult to compare the two countries of Australia and New Zealand, because our financial year ends on March 31st, and the financial year in Australia ends on June 30th. But we can get sufficient data for the purpose. In Australia there are two taxes, the Federal tax and the State tax. The maximum Federal income tax, leaving t|ie State income tax out of consideration altogether for the time being, is 7s 8d in the £. Tho maximum income tax in New Zealand is os 10 2-sd. In addition to the Federal or Commonwealth tax, there may be added by way of State tax in New South Wales 3s in the &, Victoria Is 2d in the £, South Australia 2s 3d in the &, Queensland, 3s 7d in the £, Tasmania, Is 3d in the £, and West Australia 4g 7d in the £. In New South Wales, Victoria, and South Australia a reduction is made when the income Is derived from personal exertion, that is from the earnings of the taxpayer. A resident of Australia, a. most reliable man, called to sco me on business a few weeks ago, and he told me' that his Ann is paying over 12a in tho £ at present.

"From personal knowledge of the rates of taxation in other countries, I have no hesitation in saying that New Zealanders are well off as compared with the citizens of other parts of the Empire.''