PUBLIC ACCOUNTS

Greymouth Evening Star, 9 November 1935, Page 12

PUBLIC ACCOUNTS

INCREASE IN REVENUE. [per press association.] WELLINGTON, November 8... The public accounts for the six months ended September 30 are published in the Gazette to-day. The revenue for the period totalled £10,198,528, compared with £9,900,125 for the corresponding period of the previous year. The expenditure totalled £11,738,000 compared with £12,860,000 in the corresponding period of. the previous year. Expenditure comprised: Permanent appiiopriatiolris, debt service, £4,569,000; exchange,. £958,000; under special Acts, £1,192,000; total permanent appropriations, £6,719,000. Annual appropriations totalled £3,313,000, social services and other services £1,706,000, the total of annual expenditure being £5,019,000, making the total of expenditure £11,738,000. FINANCE MINISTER’S REVIEW PAPAROA, November 8.

That a highly satisfactory position was disclosed in the public accounts for the half-year ended September 30 was announced to-day by the Minister of Finance, Mr. Coates. Receipts for the six months were placed at £10,198,828, an increase of £298,703 over thg.pgure, for, the first half of last year’‘while expenditure totalled £11,738,000, a. decrease of £1,122,000 over the sum paid out in the corresponding period of 1934-35. “The figures disclosed by>the audited accounts support very strongly estimates made in the budget,” Mr. Coates said. “The year’s financial statement was based on an expected increase of taxation revenue, but decreases were allowed for under . the headings interest and other receipts. Results for the half year generally bear out the budget forecast, detailed figures being as follows: For 193435 and 1935-36 respectively: Taxation £8,200,239 and £8,400,104; interest £969,809 and £927,735; other receipts £730,037 and £870,981; totals £9,900,125 and £10,198,828. Of the total increase of £298,703, buoyancy in taxation receipts is represented by an advance of £199,865. There is an increase of £283,173 in customs receipts and of £150,014 in the sales, tax. Stamp and death duties show a fall of £276,174, but this was expected as abnormal receipts under this heading last year exceeded the estimate by nearly £BOO,OOO. Revenue from land and income tax will not be known until later in the year, but it is confidently anticipated income tax returns will exceed the budget estimate of £4,250,000. Normally a. greater proportion of revenue is received in the second half of the year, and probably the best way to test the present position from a budgetary point of view is to work on a percentage basis. Taxation receipts in the first half of last financial year represented 40.64 per cent., of the total for the year, while this year the proportion is 40.54 per cent, of the full budget estimate. This year the position is better than appears as an alteration in the method of collecting petrol tax causes a lag of one month. Under an arrangement with the companies, delay will be made up before the close of the year. However, as no portion of the highways revenue is to be retained by the ' Consolidated fund, the budgetary position is not/ affected apart from highways. The percentages for taxation revenue are: Last year 39.40; this year 39.70. The main sources of Consolidated Fund revenue all show an increased percentage of collection as compared with the same period of 1934-35. Comparative percentages are a£ follows for last year and this year respectively: Customs 46.93 and 47.68; sales tax 47.03 and 47.31; stamp and death duties 44.81 and 48.02; interest 33.09 and 35.49; other receipts 24.19 and 36.17. Summed up the revenue figures show that buoyancy in taxation returns' noted last year is being more than maintained, while interest and other receipts are well up to expectations. Comparative figures for the main classes of expenditure during the half year are as follows: For 193435 and 1935-36 respectively: Permanent appropriations and debt services £5 826,000 and £4,569,000; exchange £1,417,000 and £958,000; other appropriations £947,000 and £1,192,000; annual appropriations and social services £3,114,000 and £3,323,000; other votes £1,556,000 and £1,706,000; totals £12,860,000 and £11,738,000. The large decrease under debt services, however, is mostly nominal as the transfers under the Repayment of Public Debt Act were made earlier last year. However, it is estimated there will be a decrease of about £300,000 for the year, due to reduction of interest charges. The decrease under the exchange costs is also purely nominal. The increases shown under other headings are in accordance with proposals for the (year. The position as a whole is very gratifying. The figures show that as a result of measures we have taken in the past, the Dominion has returned to a position of budgetary stability. There is clear cut evidence, too, that a marked improvement generally in economic conditions over the past few years is progressive in effect.”