The Budget

Press, 15 November 1984, Page 12

The Budget

Sir, — Mr Douglas said the Budget was aimed at a “more efficient economy and a more just society,” but what does the word just really mean? My grandmother, like many other superannuitants, worked hard and saved hard for retirement. Saving required forgoing luxuries such as boats, caravans, and records. She now enjoys a modest total gross income of $14,000 a year. After this Budget her effective tax rate, on income in excess of $ll,OOO has been im creased from 31 to 58 cents in each dollar. At the same time tax. on boats,\ caravans and records was reduced. Ironically my grandmother still cannot afford to purchase these luxuries. My dictionary appears to be incorrect. It defines justice as “deserved reward or punishment.” — Yours, etc., SIMON WHITE. November 13, 1984.

Sir, — It’s incredible. Mr Douglas insists that there has been no change in national superannuation. Hasn’t he read his Budget? Now one cannot receive national superannuation unless one agrees to pay an excessive penal tax on other in- : come, clawing back superannuation. The new' tax is related to super, payments, applies solely to superannuitants and was not in previous rules. A change? Of course. That the change is within a different set of regulations still means that superannuitants alone have had a very savage blow from this “caring” Government One message comes clear. It does not pay to grow old;, you are fair game for punitive taxes not applying to younger peopled It does not pay to save to make old age a carefree experience. This “caring” Government’s advertisement is virtually : telling people to go out and enjoy themselves while young. — Yours, etc., C. M. DRIVER. November 12, 1984. Sir, — With the abolition of rates rebates, old home owners will be worse off under a Labour Government than under National, for the $3 plus given in extra superannuation will not compensate for the loss of the up to $4 a week in rates subsidies, not to mention the increased cost of electricity and coal, and basic foodstuffs such as bread and milk. Retired people have worked all their lives to freehold their homes, usually their main asset, for security j|n old age. The Minister of

Finance has stated publicly that the truly wealthy are those who own or have inherited land. Does his Government plan a socialist move to disown and disinherit them in order to provide low-cost housing for workers who lack the energy and initative (and latterly, of course, the opportunity) to provide their own? — Yours, etc.,

S. L. DONALDSON. November 14, 1984.