COMPARISON OF INCOME AND CUSTOMS TAXES

Evening Post, Volume CX, Issue 43, 19 August 1930, Page 10

COMPARISON OF INCOME AND CUSTOMS TAXES

THE COST OF RAISING LOANS

In response to a request by Mr. W. E. Parry (Labour, Auckland West), two illuminating tables have been prepared by the Treasury Department, and were laid on the table of the House of Representatives yesterday. Mr. Parry asked for (1) the total reduction of income tax since 1920; (2) the amount of income tax collected each year from 1920: (3) the amount paid off the national debt during . the same period; (4) the total amount borrowed per year from 1920; (5) the yearly amount paid in interest on the external debt from the year 1920; (6) the total costs to the country in commissions and other expenses in the raising of such loans, and the actual amount received by the Government out of the total raised from the year 1920; and (7) the yearly exports and imports, together with the amount paid in freightage on imports and the amount paid in freightage on exports.

c—Figures prior to 1925-26, not comparable with 1925-26 and subsequent years, owing to alteration in system of debt repayment. ' d—lncludes £5,379,105 raised in anticipation of 1929-30 requirements.

a ihose figures are not comparable as the cost of raising loans includes loss on issue price. b—Freightage on imports assessed at 10 per cent, of f.o.b. cost. No statistics available regarding freightage on exports.

The figures arc: — '' Inco.me bCustoras Public Debt Financial Taxation. Taxation. Repayments. Year. £ £ ■ £ . 1920-21 .... S,248,945a 8,408,726 — 1921-22 .... 6,602,987 5,095,436 731,300 1922-23 .... 3,S31,032 6,153,384 5,335,879 1923-24 .... 3,781,032 7,301,783 4,660,385 1924-25 .... 3,386,052 7,6S9,192 3,249,906 1925-26 ...., 3,386,516 S,573,38S 2,333,708 1926-27 .... 3,422,218 8,395,050 2,631,970 1927-2S .... 3,273,729 8,262,588 2,477,136 1028-29 3,310,877 8,953,231 3,234,124 1929-30 .... 3,533,764a 10,016,468 2,528,860 a Reduction 1929-30, compared with 1920-21 (£4,715,181). TotalLoans clntpaid on Raised. External Debt. £ £ 12,828,564 4,162,480 12,580,871 4,551,048 5,234,818 5,022,822 7,323,422 4,908,051 9,448,252 5,220,740 13,374,539 5,521,040 9,627,381 5,686,777 8,022,499 6,161,794 16,029,S55d 6,631,706 5,720,220 7,025,133 b —Includes, petrol and tire tax.

London Loans (excluding Conversions). Cost of Loans Actual Amount Financial Raising Loaris.a Raised. Received. Imports. Year. ■ £ £ , £ £ 1920-21 — — ■• —' 67,463,26!) 1921-22 ".'... 397,223 5,899,000 5,501,775 36,123,256 1922.23 109,917 5,109,917 5,000,000 30,975,583 1923-24 433,136 4,433,136 4,000,000 44,401,756 1024-25 428,864 6,428,804 6,000,000 40,821,095 1925-26 58S.064 7,588,064 7,000,000 53,025,830 192 6-27 227,175 6,227,175 6,000,000 48,192,670 1927-28 166,748 6,166,748 6,000,000 44,919,357 1928-29-May, '28 409,547 5,409,547 5,000,000 ,45,105,865 Jan., '29 545,336 7,000,000 7,000,000 — 1929-30 ...... — — — 49.161,914 External Trade. Freightage on Exports. Imports.b £ £ 48,199,359 6,133,024 43,802,326 3,283,932 48,548,700 3,361,417 51,652,606 4,036,523 54,771,158 4,529,190 48,607,587 4,820,532 45,682,338 4,381,152 . 54,962,031 4,038,123 57,154,343 4,100,533 49,045,817 4,469,810