TERMS OF BUDGET

Gisborne Herald, Volume LXVIII, Issue 20526, 9 April 1941, Page 6

TERMS OF BUDGET

NEW TAXATION PLANS USE OF CAPITAL LONDON PRESS COMMENT Itlec. Tel. Copyright—United Pvpkb Assn.) (Reed. April 9, 9 a.m.) LONDON, April 8. The Daily Mail, in a leading article, says that in the higher income ranges the new rates of taxation outlined in the Eudget are really a disguised form of capital levy.

“The new scales mean that the wealthy taxpayer must use his capital if estates are to be kept going and the workpeople retained in employment,” continues the Daily Mail. ‘‘The Budget must be unique in completely ignoring indirect taxation.” The Times says: “It is deeply regrettable that the new taxation weighs so heavily on people of modest means, nartieularly family men, who, although the already low allowances for children are’, not altered, will be hard hit by the reductions in other allowances. Too little consideration is consistently given in this coulntry to those who by proper and largely inevitable expenditure on children, seek to build up the country’s future. But the Budget, which is a ‘stabilising Budget,’ contains consolations. The most important single proposal is the Chancellor’s promise to subsidise where necessary the prices of all essential goods affecting the cost of living and also the cost of essential services, for instance, gas, coal and electricity.”