FEDERAL FINANCE.

Hawera Star, Volume XLV, 14 August 1925, Page 7

FEDERAL FINANCE.

THE YEAR’S OPERATIONS

RELIEF IN TAXATION PROPOSED

by cable—press association- copyright. MELBOURNE, Aug. 13. In the House of Representaties the Federal Treasurer (Dr. Earl Page) deliered his Budget. The State revenue last year amounted to £68,854.809, and the expenditure to £65,836,433, leaving a surplus of £4,609,529. Of the surplus £1,500,000 will be used for debt redemption, £1,000,000 for naval construction, and £750,000 for main roads development. The estimated expenditure for 192526 is £57,458,586, and the estimated revenue £57. 574.300, to which is added £659,529 brought forward from the previous year, making an estimated accumulated surplus of £775,243. The gross Commonwealth debt at tho end of June las was £430,947,592, and the States’ debts £592,202,487. When the latter is added to the Commonwealth debt the gross total for Australia. becomes £967,197,079, or £165 per head of population. . Dr. Page said that, after considering the expenditure to be met out of revenue, the Government would submit suggestions to Parliament for relief to the extent of £750,000 in indirect taxation, of £1,400,000 in income taxation, and £360,000 in entertainment tax. The promised income tax reduction means that the tax will be reduced 12) per cent compared with last year. Dr. Page concluded by stating that the public credit had improved both at home and overseas, and a bright and happy future was assured. ADDITIONAL PROPOSALS.

LOSS ON RAILWAY WORKING

(Received Aug. 14, 12.30 p.m.) MELBOURNE, Aug. 14. Provision is being made, according to the Budget, for an increase in invalid and old age pensions to £1 weekly, simultaneously* with the passage of such portions of the national insurance proposals as may he approved by Parliament. An additional sum of £198,729 is provided for defence. The estimates for war and repatriation were increased by £50.545. War pensions are estimated to cost an additional £21,774. The estimated requirements of the postal department to-day are £10,616,435, and the estimated revenue £lO,710.000.

The Commonwealth railways show an estimated deficit of £530,107 for the year. It is proposed to exempt from taxation land used' exclusively by any club for cricket, football or other games where personal profit is not derived by individual members. No entertainment tax will be payable where the price of admission is- less than 2s _6d. The total estimated loan expenditure is £11,105,284. Legislation is proposed enabling landowners to obtain money bn easy conditions for the erection of vermin-proof fences. It is proposed to lend £3,000,000 in 1 all.

It is proposed- to spend £1,500,000 in naval construction. The war debt today is £22,000,000 less than- three years ago.