FOOD PARCELS FOR BRITAIN

Press, Volume LXXXIII, Issue 25090, 23 January 1947, Page 8

FOOD PARCELS FOR BRITAIN

REDUCTION IN POSTAL RATE ADVOCATED A reduction of 50 per cent, in the postage on food parcels for Britain was advocated in the report of a subcommittee set up by the Canterbury Manufacturers’ Association to consider the abolition of taxes on food parcels. The report was presented at a meeting last evening of the council of the association and approved. “The sub*-committee agreed that the New Zealand Manufacturers’ Federation be requested to approach the Government departments concerned, pointing out that where companies could operate ‘approved schemes’ for the sending of food parcels to Britain there should be a 50 per cent, reduction in postage, exemption from company taxation where companies subsidised such schemes, and some method of being able to recover sales tax paid on supplies forwarded in these parcels.” the report stated. “It was pointed out that the Red Cross and other authorised bodies which had been sending food overseas had received special dispensation on sales tax. It was felt that it would not be impossible. where a number of parcels was being sent overseas bv various companies from time to time, for some declaration to be made to enable sales tax to be refunded by the Customs Department. In the case of postage, it was considered that the postage rate of mp to 4s for parcels was high, and it was felt that to encourage such a scheme being operated by employers and employees on a larger scale, the postal authorities should be prepared to make some concessions Members felt that a 50 per cent, reduction in the postal rate would be satisfactory. “Where companies were subsidising employees’ parcel schemes, it was considered that money used for the schemes bv the companies should be exempt from company taxation,” the report concluded.