AUSTRALIAN BUDGET

Greymouth Evening Star, 5 December 1940, Page 10

AUSTRALIAN BUDGET

COMPROMISE PROPOSALS ALLPARTY MEETINGS [BY CABLE. —PRESS ASSN. —COPYRIGHT.] CANBERRA, December 4. Political tension is at its highest peak here.. Speculation is rife concerning the Menzies Government’s fate. Politicians were smarting under newspaper criticism when the Budget debate was continued in the House of Representatives this afternoon. They carried on for a short time. Then the House unexpectedly adjourned for the night so as to allow the various parties to hold meetings to-night, and find a basis for a compromise on the taxation proposals. The debate will be resumed to-morrow. Eleventh hour proposals on the Budget for a compromise were made by the Federal Ministry and were submitted at a meeting earlier to-day of the War Advisory Council. Strict secrecy on these has been observed by the leaders of the parties. GOVT. CONCESSIONS. (Recd. December 5, 2.5 p.m.) CANBERRA, December 5. The Labour caucus early this morning postponed a decision on the Budget compromise proposals, submitted by the Government, until further demands have been made on the Ministry. Mr. Curtin indicated that' the party decided to endeavour to obtain further concessions as the price of withdrawal of the. Opposition’s amendments.

Concessions which the Government is prepared to make are as follow: Raising the Federal income tax exemption from £l5O to £2OO. Domestic allowance of seven shillings a week for wives, with a child, or children, of all men in the fighting services. The Commonwealth to make an allowance of a million pounds to the wheat farmers for drought relief. Standard rates for old age and invalid pensions to be raised one shilling to one guinea a week. Wartime companies’ tax to be subject to investigation by a select committee. The amount budgeted for from this source to be increased. Central bank credit to be investigated. Questions capable of being discussed by the War Council to be brought before the Council before going to Parliament. Legislation to give effect to the Budget in its amended form to be ed and the amendments now before the House to be withdrawn. ■ The concessions would add another 4i million pounds to the Budget.