A SHOCK FOR SYDNEY

Dominion, Volume 24, Issue 231, 26 June 1931, Page 9

A SHOCK FOR SYDNEY

Lang’s Drastic Scheme EMERGENCY TAX BILL Crushing Levy on Incomes UP TO 5/- IN THE POUND By Telegraph—Press Assn.—Copyright (Rec. June 25, 7.30 p.m.) Sydney, June 25. The citizens of Sidney received a rude shock to-day when confronted by the “Sun” newspaper’s contents bill, which read:—“Lang’s new staggering wage tax.” The measure is described as an Emergency Taxation Bill. The measure, which is being introduced into the Assembly to-day, provides for new, heavy levies on all* incomes additional to the ordinary income tax. It will replace the present unemployment relief tax, and will operate from July 1. The official rates are:— Persons receiving from £4 to £5 a week will pay a 1/- in the pound. From £5 to £6 a week, 2/- in the pound. From £6 to £7, 2/6 in the pound. From £7 to £lO a week, 3/- iu the pound. Salaries of £lO a week or over wIU. pay a flat rate of 5/- in the pound. The view is expressed that the Legislative Council will throw the measure out and thus cause a crisis and possibly a general election, as the Premier, Mr. J. T. Lang, has no other means of raising funds. The Government expects to derive from this, source £5,000,000 or £6,000,000 a year, and Mr: Lang expects in this way to solve the problem of z meeting Government expenditure from ’ revenue. CONVERSION SCHEME Government Win Expected CABINET REPLACEMENTS (Rec. June 25, 8 p.m.) Canberra, June 25. The Prime Minister, Mr. J. H. Scullin, has announced the resignation of the Assistant Minister, Mr. C. E. Culley, on the ground that he was unable to support the economy plan. His objections were similar to those of Mr. E. J. Holloway, who resigned previously. Senator J. J. Daly, South Australia, and Senator L. L. Cunningham, New South Wales, have been elected by the Federal Labour Party to fill the vacancies In the Federal Cabinet caused by the resignations. A division on the Conversion Agreement Bill probably will occur to-night. It is anticipated that the Government will win by a substantial majority, and safely reach the recess in August. A Supply Bill to cover Government expenditure to the end of the current financial year passed the House of Representatives. Mr. Scullin’s announcement that the British Government was extending the debt concession to the Commonwealth following President Hoover’s moratorium was greeted with cries of, “Hear, hear.” Mr. seullin paid a tribute to Britain’s magnanimity and said the benefits which Australia would derive would be very welcome. HIGHER SALES TAX j Warning of Federal Move Canberra, June 25. 1 The Federal Treasurer, Mr. E. G. Theodore, stated that after the pres,ent emergency Bills had been passed bv the House a Bill io increase the sales tax would be introduced, and probably operate after July 31. LABOUR ULTIMATUM Threat to State Premier Melbourne, June 25. The State Labour Executive issued an ultimatum to the Premier, Mr. E. I J. Hogan, and also to Mr. J. P. Jones, Minister of Public Works, that unless they opposed the reduction of wages and pensions under the Premiers’ Conference financial plan, their endorsements as Labour candidate would be . cancelled.