LOWER TAXATION

Evening Post, Volume CIII, Issue 124, 29 May 1922, Page 7

LOWER TAXATION

MR. MASSEY HOPEFUL

POSTAL AND RAILWAY CHARGES. •

(BI lELEORAPH.—PRESS ASSOCIATION.)

CHRISTCHURCH, 27th May. In forecasting a possible reduction in taxation, and also in railway and postal charges, the Prime Minister stated today that a shrinkage of two millions in the income tax.revenue was certain this year, otherwise reductions oould have been made in a number of directions.

. " The outlook to-day is very much better than it was last November," said Mr. Massey to a deputation of horseowners who had asked for reduced taxation. "We have not got to the length of reducing taxation to any extent, but tne time will come, and must come, when a reduction ■ will be made in fare's and freights.on the railways arid in postal charges,, which are pressing heavily on the people, and nothing would do.more good than a reduction. I,cannot say .when it will take place, but as soon as it is possible to do jfc a' reduction, will be made. About a fortnight ago I discussed a number of matters connected with the railways with the Minister of Railways, and there was very little difference of opinion between us. He told me that he and the General Manager were going through the general tariff, and expected within a few weeks to submit proposals to Cabinet. " Whil-a I am not certain of any material reduction as far as raeeiiorseowners are concerned, I expect something will be done to make it easier for the people ♦rho are genuine sports. That is\ about all I can tell you- It is no use my committing the Government to something they will 'not be able to do. "The trade of thV, country has improved," Ml'. Massey added, "arid there is a better feeling in town and country: but what has taken place up to the present has not yet reached the finance of the country.- That is to say, we, as a Government, have not /benefited by it. That' its has got to come there is no doubt, but as a result of last year's operations there \vjll be a drop, of two millions in the incom© tax this year. If it were not for that drop, which is certain to take place, I would be able to make a reduction in quite a number of directions; but until that, time-'is-.passed it would not be possible for..mei;o do very much. I will know better how- we stand by August,", concluded Mr. Massey. "I shall then be jble to make a statement in Parliament as to what it.is possible to do,, but the people should contribute to the revenue of the country in proportion to their ability to pay, and any legislation brought down this session will carry out that principle. I hope to seo no class in this country unduly penalised; everyone will share and share alike."