DIRECT TAXATION

Dominion, Volume 33, Issue 68, 13 December 1939, Page 9

DIRECT TAXATION

British And German

Comparison REICH NEAR MAXIMUM (British Official Wireless.) (Received December 12, 7.5 p.m.) RUGBY, December 11. Though the weight of direct taxation is now greater than ever before in British history, the burden borne by British individual incomes is not, according to estimates recently made, so great as that under which the German workers are struggling. In Britain no income tax is paid by a married man with two children till his income exceeds £3OO a year, but in Germany a married wage-earner with two children pays 12/- on a £lOO income, £ll/14/- on £2OO and £23/8/6 on £3OO. The British taxpayer with a similar family and earning £5OO a year pays but little more than one-third of the amount extracted from his German counterpart, and on all incomes up to £7OO the German tax is more than double. On reaching the higher income levels the incidence of the British tax is heavier than the German. The comparison, which is taken at the rate of 20 marks to the pound, is thought by competent commentators to show a large reserve British taxation capacity, whereas, unless the Government is unfairly taxing working class incomes, Germany must be within a short, distance of the maximum direct taxation point.

BRITAIN’S EXPORT TRADE Deputation To Ministers (British Official Wireless.) (Received December 12, 7.5 p.m.) RUGBY, December 11. The Prime Minister, Mr. Chamberlain, accompanied by the Chancellor <?f the Exchequer, Sir John Simon, and the President of the Board of Trade, Mr. Oliver Stanley, received a deputation from the Federation of British industries and heard the federation’s views on improvements of the existing machinery relating to export trade. Mr. Chamberlain, in reply to the deputation, said that he did not think the appointment of a separate Minister for economic questions would be advantageous in the existing circumstances and it was agreed that Mr. Stanley would communicate immediately with the federation in order to discuss the possibility of improving the existing machinery by appointing an advisory panel. The recent statement in the House of Commons by Mr. Stanley, on the improvement of the British export position, is supported 'by figures made public by the Society of Motor Manufacturers.

Between August 1 and November 30 sales of British commercial vehicles abroad were 86 per cent, higher than in the corresponding period of 1938. Exports to Australia were up by 39 per cent., and those to the West Indies by 45 per cent. Orders for one make of car from Holland increased by 61 per cent.