MORE N.Z. REVENUE

Grey River Argus, 5 August 1940, Page 10

MORE N.Z. REVENUE

IN PAST QUARTER Expenditure Kept to Estimate [Pei Press Association] WELLINGTON. August 3. Details of the finances of tfie Consolidated Fund for the first quarter of tfie current financial year have been announced by tne Minister ot finance. Revenue for the quarter totalled 18,385,058, an increase ox compared with the corresponding period of the last financial year, wfiiits expenditure, amounting to £7,282,306, was £257,578 less than fox- the same period in 1939.

These results, of course, are subject to the qualification that the whole of the expenditure on defence is now, in terms of the War Expenses Act, 1939, paid out of a separate account, namely, the War Expenses Account, whereas during the first quarter ox the last financial year expenditure totalling £321,701 was met out of the Consolidated Fund. A comparative statement of revenue is as follows (April 1 to June 30, 1939-40, and April 1 to June 30, 1941. Percentage three months to the total for the year 1939-40 and 1940-41): — Taxation. Customs, £2,562,000, £2,827,000; 26, 38. Beer tfuty, £256,000, £374,000; 19, 27. Sales tax, £958,000 £943,000; 27 31. Highways, £1,075,000 £827,000;’ 36, 32.

Stamp duties, £830,000, £875,000; 24 53.

Land tax, £29,000, £25,000; 3, 3. Income tax £696,000 £1,538,000; 7, 11.

Miscellaneous, £45,000, £44,000; 20, 19.

Totals, £6,451,000, £7,453,000; 20, 24. Interest, £401,000, £314,000; 14, 11. Other receipts £535,000 £618,000; 24, 18. Total revenue, £7,387,000; £8,385,000; 19, 23. On a percentage basis, Mr Nash explained, it would be seen from the foregoing results that, for the first quarter of this financial year, 24 per cent, of the estimated revenue from taxation for the whole year had now been received, compared with 20 percent. for the corresponding period of the last financial year, while a similar margin, namely, 23 per cent against 19 per cent., applies in respect of the total revenue. The substantial variation in customs duty is due to the imposition of an additional fourpence per gallon duty on motor spirits imposed in September last, while the other variations are on the whole, normal. EXPENDITURE A comparative summary of the net expenditure to date is as follows (April 1 to June 30, 1939-40, April 1 to June 30, 1940-41.’ Percentage six months to the total for the year 193940, percentage six months to the total for the year 1940-41): — Permanent Appropriations— Debt services, £1,712,000, £1,978,000; 16, 19. Highways, £813,000, £736,000; 27, 29. Exchange, £417,000 £219,000; 24, 15. Other services £804,000, £67,000; 30, 18.

Totals, £3,746,000, £3,603,000; 21, 20. Annual Appropriations — Social services, £1,968,000, £2,269,2l, 19. Other votes, £1,826,000, £2,013,000; 18, 21. Total expenditure, £7,540,000, £7,282,000; 20 20. It would be seen from these returns, said Mr Nash, that on a comparative basis the results to date approximate very closely to the position last year which, it would be recalled, closed with a satisfactory surplus. The percentage variation in regard to the item “exchange” is due to the fact that substantial remittances were made to the High Commissioner for New Zealand in the early part of last year, in anticipation of requirements, whereas similar advance remittances had not been made this year. The comparative reduction in regard to item “other services” is due almost entirely to the fact that for the first quarter of the last financial year, the sum of £750,000 was transferred from permanent appropriations to the Social Security Fund, 'whereas this year a similar transfer, but of £400,000, was charged against annual appropriations (social services). These adjustments also affect the comparison in regard to the last-mentioned heading as between the two quarters. The net position to date is thus a surplus in the Consolidated Fund revenue over expenditure of £1,103,000, but, a_s Mr Nash explained, it is too early ‘to forecast the results for the whole year. Present indications, however he concluded, are entirely satisfactory, and indicate that the' Budget estimates are being closely adhered to. The usual details, which will include also the transactions of the War Expenses Account and the Social Security Fund, will be published as a supplement to this week’s Gazette.