EXCESS PROFITS

Dominion, Volume 33, Issue 281, 22 August 1940, Page 11

EXCESS PROFITS

Legislation For Tax Due Shortly

MINISTER’S REPLY TO QUESTION

The intention of the Government to introduce a Bill imposing an excess profits tax, to apply to income derived since April 1, was announced by the Minister of Finance, Mr. Nash, in reply to a question by Mr. Goosman (Opposition, Waikato) .

Mr. Goosman asked whether, in view of the widespread concern and uncertainty caused by the statement of the Minister of Finance that it was the Government’s intention to introduce on some basis an excess profits tax of .100 per cent., the Minister would state:— J, Was it still the intention of the Government to carry on with the introduction of such a tax?

2. Had arrangements been completed and, if so, when was it proposed to institute the tax?

3. Would the proposals come before the House in the form of legislation and, if not, would the House first be given an opportunity to discuss any proposals that might be formulated? Mr. Nash replied that the Government intended to introduce the tax. While the proposed arrangements were not yet finally determined, the present intention was that the tax should apply with respect to incomes derived during the current year—that was, the year commenced on April 1 last —-and during future years.

“The proposals will be included in draft legislation to be placed before the House at. an early date,” concluded Mr. Nash.