DOMINION’S REVENUE

Greymouth Evening Star, 31 October 1931, Page 7

DOMINION’S REVENUE

FIGURES FOR HALF YEAR FINANCE MINISTER’S REVIEW [FEB PBESS ASSOCIATION.] WELLINGTON, October 31. The public accounts for the first naif of the financial year were published to-day in a supplementary Gazette. Commenting on the figures, the Minister of Finance (Hon. W. DownietSewart) stated: It will be seen that the revenue of the Consolidated Fund for the period amounted to £7,347,379, compared with £9,057,880 for the corresponding period of last year, a decrease of £1,710,501. However, a considerable shrinkage in revenue was allowed for in the Budget, and this decrease does not indicate the financial position. Receipts from taxation amounted to £5,560,814, of which £2,662,634 was derived from Customs duties. The year’s estimate for this item was substantially reduced in the Supplementary Budget, and compared with the appropriate proportion of the amended estimate, the receipts were approximately £365,000 behind. The outlook is still somewhat obscure, but in view of the rising tendency of our export prices, there is a reasonable prospect that some improvement may take place in the remaining portion of the year. Revenue from stamps and death duties was about £500,000 less than received for the corresponding period of last. year. hut. a substantial fallfng off was anticipated, and receipts -were only about £189,000 short of the proportionate part of the estimate for the year. The largest item concerned the death duties, which are incalculable, except on the basis of average, and fluctuates from month to month. Lower values and difficulty in realising on property were also another factor' affecting this revenue. It is yet too early to say what will be the outcome of this item for the year. Revenue from motor vehicles, duties and licenses slightly exceeded that received during the six months of 1930, but this revenue is earmarked for reading purposes, and does not 'assist the Budget.

Receipts from beer duty and film hire tax are in accord with estimates, while the position in regard to land and income tax will not be known until later in the year. Interest receipts for the period compare quite favourably with the amount received during the first half of last year, while other receipts show a slight increase, due to the introduction of additional items.

On the other side of the account, the net expenditure for the six months amoutned to £11,463,796, compared with £12,237,467 for the corresponding period of last year. In view of the changes made, however, the most useful comparison is with the proportion of estimates for the year. Following is the comparison on this basis:— Civil list proportion of estimate, £14,336; net expenediture, £15,300, over proportion £964. Debt services: £5,213,686 —£5,373,407—£159,721.

Other permanent charges:—£3,6ll,930—£2,980,46S — under proportion £631,462. Annual v0te5:—£3,541,938 —£3,094621 —under proportion £447,317Totals: £12,381,890—£ 11,463,796— £160,685—£1,078,779, less 160,685— £918,094.

A large under-proportion shown for permanent charges is largely nominal being due to accounting fluctuations and outstanding payments. It is anticipated that the expenditure under permanent appropriations will be in accord with the estimates for the year. The position in regard to expenditure under annual votes is quite satisfactory, although not as good as the figures indicate, as the estimates for the year have to be reduced in accordance with the supplementary financial statements

In general, added the Minister of Finance, the expenditure is being kept within the estimates, but the position in regard to the re,venue particularly from customs and stamp duties, is still somewhat uncertain, though improving. The economic, outlook gives some grounds for hope that it may come up to our amended expectations.