SOAKING THE WAGE-EARNERS

Evening Star, Issue 22956, 13 May 1938, Page 12

SOAKING THE WAGE-EARNERS

TO TUB EDITOn. Sir, —I have been reading with serious concern some remarks of a speech made by a member of Parliament reported in a. copy of 1 Hansard ’ just received. The member, alter referring to the Government’s staggering increased expenditure, which conies as a sharp reminder that this country is being crushingly taxed, states what few \vorkers do not realise, how they are now being soaked by unseen taxation. This is what he said, which is an eye-opener to all of us workers: “ I am not referring to taxation of the larger incomes; 1 am more concerned of the taxation directly and indirectly imposed upon the working people. A big proportion of the contribution to the cost of government is made by those who think they pay no taxes. For instance, it is not generally recognised that the working man who smokes a pipe or a cigarette is paying taxation, inasmuch as be is being taxed by Customs duty and by the sales tax. We can hardly move without being taxed. We cannot eat without being taxed. This increase in taxation is having a very detrimental effect upon this country. Many wage earners do not seem to know that raising prices lowers wages—there is less purchasing power. The alternative to raising prices is lowering wages or. salaries. Raising prices br lowering wages by law amounts to the same thing. This is alleged to be the most cruel form of. concealed taxation. Again, portion of increased taxes, rates, and other overhead expenses are passed'on to the consumer. The sales tax is still in operation, and this hits the wage earner very hard. In the course of my travels I frequently hear shopkeepers and others complaining that there exists a certain lack of confidence and a feeling of uncertainty as to the future. In Australia taxation is being now reduced, and increased business activity is lessening unemployment.”—l am, etc. Lamplighter. May 12,