RETAILERS' PROBLEMS

King Country Chronicle, Volume XXX, Issue 4833, 14 April 1936, Page 5

RETAILERS' PROBLEMS

THE SALES TAX AND COSTS. EFFECT OF BETTER WAGES. The report to be presented to the Federation of Drapers. Clothiers and Boot Manufacturers this day week, notes that members of the present Government when in Opposition expressed their disapproval of the sales tax, and the question of abolishing it was discussed a good deal during the election campaign. "Since the election, however, the Government has not disclosed anything as to its intentions," the report adds. "The revenue collected from this source in 1935 was £2,389,939, an increase of 12.9 per cent, over the 1934 figure. "The magnitude of this sum must weigh both with those who seek the abolition of the tax and those who favour its retention, and one of the difficulties to be overcome by the former will be the one undoubtedly confronting the Government of collecting a similar amount by any other means. There is no doubt that the tax has been an entirely obnoxious one from the viewpoint of the retail trader. A material reduction in the rate of tax or its entire abolition will be the desire of the whole commercial community, and we suggest that our organisation should cooperate with the Chamber of Commerce and other sections of the retail trade in endeavouring to attain our objective." Labour Legislation. The Federation describes the Government's desire to improve the standard of living of the lower-paid workers as laudable, and "with which we may be wholeheartedly in sympathy, but the legislative programme announced cannot fail to raise all costs of production and distribution, and until it is disclosed to what extent costs will be raised and how far higher costs can be reflected in prices without, restricting the volume of trade anxiety will continue to be felt. "Meanwhile we feel sure that members will unanimously approve the earnest way in which Cabinet has set itself to the task of dealing with the many problems needing solution and will be more than willing to co-oper-ate with the Government in every practicable way for the good of the community as a whole." The conference will discuss the cash-order system of trading; chain stores; itinerant traders and auctioneers; foreign competition; the 40hour week; statistical services; elec-tion-day closing; distribution of goods to unemployed; l-übber shoes and children's health; and other subjects of general and trade interest.