TAXATION BURDEN

Gisborne Herald, Volume LXVIII, Issue 20488, 24 February 1941, Page 6

TAXATION BURDEN

INCREASING COSTS AUCKLAND GAS COY. CHAIRMAN’S COMPLAINT (Per ProSs Association.) AUCKLAND, this day. Steady progress which, however, was not sufficient to keep pace with the increase in wages and the cost of materials and taxation, was reported by Mr. V. J. Larner at the annual meeting of the Auckland Gas Company to-day. He expressed disappointment that retrospective legislation had been passed nullifying the effect of the capital reorganisation last year since the liability for income tax had now been transferred from the perpetual debenture-holder to the company. Although the sale of gas residuals and'fittings had produced £20,000 more than in the preceding year, the balance in the Working account was nearly £30,000 lower. Interest on the recent issue of perpetual debenture stock, £29,630, was largely responsible for this unfavourable showing and, unfortunately, the company might still be assessed for income tax on this amount.

Sales of gas amounted to 1,122,500,000 cubic feet, exceeding those of the previous year by 43,000,000 cubic feet. The retiring directors, Mr. W. R. Wilson and Mr. K. B. Myers, -were re-elected.