NEW ZEALAND’S FINANCES.

Horowhenua Chronicle, 6 February 1936, Page 7

NEW ZEALAND’S FINANCES.

Nine Months’ Revenue Up to Estimates.

Budget Will Be Balanced.

WELLINGTON, Last Night

The public accounts review of the budgetary position for the nine months ended December 31, 1935, was gazetted to-day. On the revehue side the comparative position of the principal items is set out in the following table. As the revenue does not come in evenly during the year and the amount to be received under the various heads varies from year to year a comparison of the actual receipts with those of the corresponding period in the previous year does not always give a true view of the position. The last two columns showing the percentages of receipts to the total or estimated revenue for the year have therefore been added as giving a better guide to the position from the budgetary point of view.

The Minister of Finance (Hon. Walter Nash) stated that the figures disclosed a satisfactory position. Taking the actual receipts, taxation showed an increase of £130,000 as compared with last year. Interest and other receipts disclosed decreases of £168,000 and £1,247,000, but this was in accordance with the estimate for the year, the large decrease under “other receipts“ being due to the receipt in the previous year of substantial profits from the sale of gold coin. The main increases in taxation were: Customs, £397,000; beer duty, £17,000; sales tax, £215,000; and other taxation, £28,000, • while highways and stamp duties showed decreases. The decrease in highways was purely nominal, being due to the alteration in the method of collection this year and will adjust itself by March 31. The stamp duties was expected to show a decrease as the receipts for tho previous year were abnormal, exceeding the estimate by nearly £BOO,OOO. Turning to the percentage figures in the last two columns it can be seen that of the main headings of taxation the percentages for Customs, beer duty and stamps show a better position than last year. The sales tax is slightly down, but it is likely this is due to accounting fluctuations rather than to an actual fall in revenue.

The indications were that the estimate for stamp revenue which is reduced for the current year will be more than maintained. * The percentage decrease under other taxation is of little significance as the chief tax coming under this head, namely income tax, was not due at December 31. Land lax which also comes under this head shows a decline and though amounts are still coming in it is now anticipated I that the amount of this tax at the end I of the year will be slightly less than the Budget estimate. The total percentage under interest is slightly more than that for last year and indicates that the revenue under this heading is keeping up to the estimate. Expenditure. On the expenditure side the comparative position shows that the total expenditure is £900,000 under the proportionate part of the appropriations for the year, but it is not expected that this position will be maintained as fairly large payments will have to be made in the final quarter of the year. Generally speaking, it appears that the revenue will bo well up to the estimate and the expenditure within the appropriations when the accounts are finalised for the year. Thus the prospects are that the year wall close ■with a balanced Budget.

Nine Nine InPentge. Pentge. months months crease. of total of estiending to for mate for 31/12/34. 31/12/35. 1034-35. 1935-36. £. f. £. Customs revenue . 5,504,300 5,901,215 390,915 74.95 75.45 Beer duty .. .. 500,512 518,214 17,702 75.59 70.77 Sales tax .. .. 1,022,944 1,838,200 215,250 74.77 74.27 Highways 1,404,572 1,459,101 5.471* 70.00 71.52 Stamps, etc 2,611,817 2,089,504 522,313* 74. IS 77.10 Other taxation .. 1,522,120 1,580,473 28,353 34.03 32.12 Total taxation .. 13,310,205 13,440,707 130,442 05.99 04.89 Interest 1,659,240 1,496,647 102,599* .50.02 57.25 Other receipts .. 2,382,95.1 1,135,811 2,247,140* 78.95 47.10 Total revenue 17,358,462 10,079,105 1,279,207* 00.44 02.40 * Denotes decrease.