CANADIAN BUDGET

Nelson Evening Mail, Volume LXVI, 19 April 1934, Page 7

CANADIAN BUDGET

A YEAR OF RECOVERY ORDINARY ACCOUNT IMPROVES (United Press Association—By Electric Telegraph—Copyright) (Received 19th April, 10-20 a.m.) OTTAWA, 18th April. A deficit of 135,200,000 dollars over the preceding year was announced in the House of Commons to-day by the Minister of Finance, Mr Rhodes. The deficit on ordinary account was 24,100,000 dollars, an improvement of 19,100.000 dollars over the previous year capital expenditures on unemployment relief and the Canadian, National Railway deficit making up the remainder. The fiscal year just closed has been a year of recovery said Mr Rhodes—recovery that was unmistakeable and of greater magnitude than had been thought possible. Canada would not default on any of her obligation. Legislation to permit farmers to compromise with their creditors and require their debt burdens was forecast. Stabilisation of the Canadian dollar must await the establishment of a stabilised ratio between the. United States dollar and the British pound, GOLD TAX IMPOSED (Received 19th April, 12.55 p.m.) OTTAWA, 18th April. The Minister of Finance in his budget speecli announced a ten per cent, tax on the value of domestic mined gold to offset a reduction in the sugar tax from two to one cents per pound. The gold tax does not apply if the price is below 30 dollars in Canadian funds. There are no changes in income tax. In the customs tariff no fewer than'7s items are affected, generally downward. The excise tax on sparkling wines will be reduced from one dollar fifty cents to seventy-five cents and under. The 3 per cent special excise tax rate is cut by half on imports entitled to the "benefit of the British preferential tariff.