TAXES AND INCOMES

Evening Post, Volume CXXVI, Issue 89, 12 October 1938, Page 14

TAXES AND INCOMES

(To the. Editor.|

Sir, —I have just been reading the National Party claims regarding increased taxation and increased cost of living during the last three years. Being interested, I took steps to verify these statements. Here is what I found. Between 1934-35 and 1Q36-37 taxation revenue increased from £24,738,000 to £31.164,000, but during the same period the national income rose from £10?,000,000 to £150,000,000. This means that taxation as a percentage of national income has decreased from 24 per cent, to 20.8 per cent. Where then, is the increase in taxation?. In reference to the cost cf living, here is a table showing index numbers for retail prices and wage-rates from 1930 to 1937. the base period being 1926-30 equals 1000. Retail Wage Year. prices. rates. 1930 .981 - 1017. 1935 837 858 1936 '..■ ... 864 950 1937 923 1036 These figures show that during the years 1935 to 1937 wages have risen approximately twice as fast as prices, yet we are told that the cost; of living has risen. Not only are we better off than in 1935, but we are better off than during the boom period 1926-30. Whilt* more is being paid out under Labour rule, more £.till is being received. It is not what is paid that matters, but what is left. And that we have more left is proved by the fact that Sayings Bank deposits rose from £60.710.000 at March 31. 1935, to £76.486.000 at March 31. 1938, a record figure! All -the above statistics are culled from official publications by the Government, Statistician, and may be regarded.as authoritative. —I am, etc., \ ". VERITAS IN REBUS PUBLICIS. - I [The fact that heavier taxation has been levied on land and incomes arid through Customs duties is undeniable, and the rate perbhead of population has risen steeply. Regarding Post, Office Savings Bank deposits it may be point- . Ed out that the excess of deposits over withdrawals for the first four montlis jof the current Tfinancial ■: year is £637,746, compared with £1.889.311 for the corresponding period last-year., and £3,232.975 . for the twelvef'7month» ended March 31, 1935.—Ed.} 1