FEDERAL FINANCE

Dominion, Volume 23, Issue 51, 23 November 1929, Page 11

FEDERAL FINANCE

TREASURER SURPRISES HOUSE BUDGET PRESENTED WITHOUT WARNING ‘ TAXATION INCREASED (United Press Association.—By Electric Telegraph.—Copyright.) (Rec. November 22, 7.30 p.m.) Canberra, November 21. Mr. E. G. Theodore, the Federal Treasurer, presented his Budget speech without warning at 10.28 last night, when the business of the House of Representaitves was proceeding drowsily to, as everyone supposed, an early close. The Press was not- supplied with details beforehand, as has been the practice in the past, and most of the telegraph officers had gone off duty. The result was a hectic time rounding up telegraphists from their homes, while pressmen feverishly prepared messages from printed copies provided after the Speech had been begun. To crown all, the pneumatic chute from the gallery to the telegraph office jammed, causing delay. The Budget taxes are hardly more unpopular among business men than is their announcer, Mr. Theodore, to-day among Parliamentary pressmen. In presenting the Budget and Estimates of the new Government, Mr. Theodore declared that the late Treasurer had grossly miscalculated his commitments and also probably the revenue. The increased expenditure for which Inadequate provision was made totalled £807,340. The Government proposed to raise a further sum of £885,000 by an increase in the income tax. The existing rates would be increased by the imposition of a super tax as follows: —On taxable incomes of individuals £2Ol to £l5OO, 10 per cent.; £l5Ol to £3OOO, 15 per cent.; £3OOl upwards, 20 per cent.; on the taxable Incomes of companies, 20 per cent. The revised estimate was £43,250,000, or half a million less than the Budget estimates. .The Government did not intend to levy the 5 per cent, tax on gross receipts from entertainments. Excise duty on petrol would be increased a penny a gallon. The duty would be increased on leather and rubber goods, motor-cars, cotton and wool yarn. The recent Increase of 3d. a gallon in the beer excise would be reduced to a penny. The total revenue was estimated at £64,589,000, and the expenditure at £64,574,442, leaving an estimated surplus of £14,558.

HEAVY INCREASES IN DUTIES COST OF LIVING RAISED (Rec. November 22, 9.40 p.m.) Sydney, November 22. The Federal Government’s new tariff duties have, dealt a staggering blow to British industries, and will necessarily raise the cost of living in Australia. The duties on whisky, brandy, rum, gin, and other spirits have been increased 8/- per gallon. Very heavy increases are imposed on imported cigarettes, cigars, felts, furs, white lead, and varnishes, while the duty on timber for box-making has been increased to 7/- per 100 feet super, and that on dressed timber to 8/-. Prohibitive duties are imposed on imported socks and stockings. The duties in some cases are doubled. The foreign rate on matches has been doubled. The “Sun” newspaper says this extra two millions per year extorted by Mr. Theodore by way of new taxation represents a tax of 5 per cent, on forty millions of our Industrial income, and is bound to result in additional unemployment. The average amount of taxation paid by 8169 companies in Australia in the past was £325/12/11. The average amount payable under the new schedule will be increased by £65/2/7 to £390/15/6.