DR THACKER’S VIEWS.

Lyttelton Times, Volume CXVII, Issue 17198, 19 June 1916, Page 9

DR THACKER’S VIEWS.

APPLYING THE SCREW. “This Budget-,” said I>r Thacker, M.P., “is a continuation of the last one, and it practically exemplifies tho driving in of a screw—that is, Sir Joseph Ward has tightened tho screw two or three turns, and is still leaving somo turns to he pushed home. Tho

further the screw goes in the tighter it comes on Iho smaller limn. Ho is still leaving something to tax—for instance, amusements and luxuries, and nioro particularly the man earning £3OO and below. Ho has recognised, in leaving this man out, the huge amount of money that hiss been collected for patriotic purposes from the ordinary individual in tho street, and in that has- shown a wise discretion. Tho wliolo tone of the Budget, to my mind, is that it leaves something sti.ll to tax. He is right to hit tho war profits and tho higher income tax paver, and lie has also given relief to a big majority of pcoplo by bis additional £400,009 to public servants. Ho has assisted the friendly societies by giving tho baby bonus, comparablo to tho national provident maternity bonus. Another striking tone in tho Budget is the determination to keep money iu this country, and what money wo cannot keep in gold will be kept hqtucl bv war bonds free of income tax. ibis is freeing the gohL.aU the time, and there is no doubt that tho Imperial Treasury bills of £3,325,000 will ho a set-oil' in London to the money that Eii'dand would have to send us for” the nine million pounds wot tli of prime produce that they have bought. That saves tho money from crossing the seas, and is a real good stroke of business. Forcing people who make tho money hero to keep if ly>ro will, of course, assist as the screw is tightened. PUBLIC "WORKS EXPENDITURE, “ Tlio most striking thing in tho wliolo Budget, although a small amount, is that the departmental expenditure has slightly decreased, lhe increase of railway business is duo to the traffic of visiting the soldiers, and also to tho travelling of the soldiers themselves. I disagree with the curtailment of public works. I think that works such as Otira tunnel, winch is costing us £55,000 a year for every day, week or month it is uncompleted, should ho pushed on, and even a local loan could bo raised to put it right through. The main trunk line is in the same case. Had theso two been in existence the coal penalty on the east coast ot the South Island would have been removed, and there would have boon a vast saving in traffic to W ellington. j COST OF LIVING. *• Tho high cost of living could lie greatly corrected il the Government fearlessly commandeered the wh the primary products. lor instance, flour is now £l2 a ton and. Bread is practically no cheaper, lliere are thousands of eases of butter in the country, yet butter is Is 7d. Cheese, meat and all kinds of the necessaries of life are in cold siorage, blocked back for want •oi shipping space, and these could be commandeered by ilie Government, at a fair price. One little thing will help the cost of living, and that is the slight encouragement given to the fisheries at Port Chalmers. ' All these little things indicate that bigger progress will be mado on these lines when tho war is over. .Meanwhile amusements and racing and so on must ho taxed. ’ Dr Thacker mentioned tho holding up of the clause in the Discharged Soldiers’ Settlement Bill in Parliament on Fridny afternoon, and said that it was justified in view of the increased income tax imposed by the Budget, lho clause provided that* the Government could raise tho necessary money for land for returned soldiers bv selling war debentures at 5 per cent free of income tax. That- wits as good as £5 15s per cent to iho man paving tlio higher income tax. and had'it been passed by tho House it would have been equivalent to £C> per cent under the new taxing proposal.