FRENZIED FINANCE

Feilding Star, Volume 3, Issue 554, 31 December 1925, Page 7

FRENZIED FINANCE

DEFICIT NEXT YEAR

PROPOSALS BY THE MINISTER

(Aust, and N.Z. Cable)

Paris, Dec, 29

M. Douuicr estimates the deficit in the 1920 Budget at 9000, million francs, including 2500 million for the amortisation of the public debt, and 2000 millions for the/repayment of advances made by the Bank ot France to trie Treasury;. He proposes to meet the deficit by a special tax of l-20Lh per cent, ’on all business payments, which is estimated to produce 3800 millions, and by applying the increases tm the iiiboiue tax to the Budget instead ’al/tlip re-ab-sbrptiou of inflation, which is estimated to produce 3000 millions, and iuchoijse the tobacco duties, producing 1000 millions. Ho also hopes t'o recover 3000 millions from tax evaders, to save 200 millions on Government expenditure, to obtain 000 millions from a tax on exports and .100 liiillins from an increase tax on stock exchange operations. . ;Tl»e new taxes, are indirect, and Radical, members of the Cabinet oppose an increase in indirect taxation on the ground Unit it bears unfairly on the poor At. Douih.t expresses the opinion that three milliards of francs of AI. Loucheur's taxes, which he. is incorporating iii the 1920 Budget, will form the liigluwater mark of direct taxation, and direct taxes Cannot be-collected quickly, whereas' the inonov is nerdt'd ini mediately. .