TAXING SOLDIERS

Evening Post, Volume CXXX, Issue 27, 31 July 1940, Page 9

TAXING SOLDIERS

LAST YEAR'S INCOME

A HARSH ENACTMENT

(Special to the "Evening Post.")

AUCKLAND, This Day

A decided hardship affecting soldiers and their wives has arisen over the legislation enacting the .National Security tax, the first instalment of which is payable tomorrow.

In many instances professional men, business men, and farmers draw no regular salaries and, in consequence, their Social Security tax has been paid quarterly on the income earned for a complete year.

This year the National Security tax has to be paid for nine months on income earned in the year ended March 31 last. In the case of soldiers nowserving abroad, the professional, business, or farming income earned last year is no longer being earned. The soldier has his military pay, but may have no other earned income. The military pay is free of income tax, but the Finance Act passed this month appears to hold the soldier or his.wife responsible to pay National Security tax on three-fourths of the professional or business income earned last year.

Soldiers' wives have been advised that the law clearly places the responsibility of payment upon them, although in some cases the only source from which the" tax can be met is the soldier's military pay. A professional man speaking of cases within his knowledge, said the impost was harsh and unjust. It may have been unintentional, he said, but it called aloud for redress.