STATE FINANCE.

Hawera & Normanby Star, Volume XLI, Issue XLI, 29 May 1922, Page 5

STATE FINANCE.

THE POSITION IMPROVED.

REDUCTION OF TAXATION.

LOWERING OTHER CHAR&ES

C"BY T£LEOKAPH— PRESS ASSOCIATION > CHRISTCHURCH, May 27 / -. -In forecasting a possible reduction m taxation, and also in railway and *♦*, ?*»*&*> th* JMme Minister stated to-day that a shrinkage t)f two millions in income-tax revenue was certain this year, otherwise reduction* could have been , made in a number ot directions. /

. ix The, outlook to-day is very much better than it was last November," said Mr. Massey to a deputation of house owners who had asked for reduced taxation. We have not got to the length ot reaucing taxation to any extent, but the time will co me , and must come, when a reduction will be made. Fares and freights on the railways, and the postal charges are pressing heavily on the people, and nothing would do more good than _a reduction. I cannot say when it will take place, but as soon as it is possible to do it a reduction will be made.

About a fortnight ago I discussed a number of matters connected with the railways with the Minister of Railways and there was very little difference of opinion between us. He told me that no and the general manager were goA*ig through the general tariff, and expected within a few weeks to submit proposals to the* Cabinet. While I ah. not certain of any material reduction as tar as racehorse owners are concerned 1 expect something will be done to make it easier for the people who »re the genuine sports. That is about all 1 can tell you. It is no use my committing the Government to someth™%.they will not be ab;le to do. The trade of the country has improved," Mr. Massey added, "and there is a better feeling in town and ' country, but what has taken place up to the present has not yet reached the hnance of the country. That is to say . we a« a Government, have not bene- ' hted by it. That it has got to rome there is no doubt, but as the result of last year's operations there will be a drop of two millions in the income-tax this year. If it were not for that drop, which is certain to take place, I would be able to make reductions in quite a number of directions, but until that time is passed it won't be nossible fcr me to do very much.. I will know better how we stand by. August. I shall then be able to make a statement in Parliament as to what it is possible to do but the people should contribute to the revenue of the country in proportion to their ability to pay, and any legislation brought down this session will carry out that principle. I hope to see no class in this country unduly penalised. Everyone will share and , share alike." - * *