TAXATION OF JOINT STOCK

Evening Star, Issue 16514, 28 August 1917, Page 4

TAXATION OF JOINT STOCK

A special adjourned meeting of the Dunodin Stock Exchange was held yesterday to consider the proposed taxation of joint stock companies. Three proposals were before (lie Exchange, also the resolutions carried by the executive of the lJnneriin Chamber of Commerce at their meeting on Friday, August 24. After discussion, it was resolved to recommend the Stock Exchange Association of New Zealand to support the Xo. 2 proposal forwarded by the Wellington Chamber of Commerce, which reads as follows : It is understood that the in the Commonwealth in ss?i«!i'i; ■'.<• federal Income Tux is iir;t to dedu.-t the dividend paid, a company paying tax on the undistributed profits pt:iy, and shareholders are required in include i:- their income returns dividends received. _ The latter method is certainly more equitable than our present system. The following resolution was also submitted to the meeting and carried: That, in view of the largely depreciated value of gold since the declaration of war, and also having in mind the increased cost of all plant and material required in its production, this Exchange suggest to the Government that this industry should bo free of taxation.