AUSTRALIAN TAXATION

Evening Star, Issue 20862, 4 August 1931, Page 4

AUSTRALIAN TAXATION

Apparently tlio possibilities of winning; money with New Zealand horses in Australia are to bo greatly narrowed. Tho latest taxation and kindred moves by the people across tho Tasman aro particularly interesting, judging from a letter I received from a Sydney racing man this week, says “ Carbine,” in tho New Zealand ‘ llefcree.’

“ Jamieson’s team,” ho says 44 missed tho new sales and primage duty by one week. As anticipated, it went from 6{- per cent, to per cent. The duty on Jamieson’s horses was £377. If the horses had arrived by tho next steamer the amount would have been £942—Customs, primage, and sales tax. “ In future the Customs people here will not accept New Zealand owners’ valuations of their horses. Tho clay has gone when you can declare the value of good handicap horses or of prospective classic winners at the price of common hacks. There appears to be no redress. Tho New Zealand owners can accept the Customs valuation and pay or ship their horses back home. “ tinder-valuing a horse might load to serious consequences, as the Customs Department has tho power to take possession of a horso and sell it.

“ Really, people bringing horses in hero will have to pay on 33 per cent, more than tho actual value of the horses. For duty purposes the Customs will add one-third. “ So, on a horso valued at £I,OOO, duty is paid on £1,333 at 16i per cent.

44 In future tho duty on Ammon Ha will be nearly £4OO. Of course, this is refunded when tho horso loaves Australia. But tho latest 4 grabs ’ will kill tho sales of New Zealand horses to Australia, as there is no refund on duty on a horso that is sold to remain in Australia.

44 As an Australian has to pay about 20 per cent, to got his money to Now Zealand, tho barriers look to bo prohibitive. Duty and exchange will increase tho cost of a horse by about 50 per cent. A horse sold for £I,OOO in Now Zealand would cost its Australian buyer about £1,500.”