BAWRA OPERATIONS.

New Zealand Herald, Volume LXI, Issue 18703, 8 May 1924, Page 7

BAWRA OPERATIONS.

[FROM OUR OWN* CORRESPONDENT.] . SYDNEY, May 1. ■ The annual report of the British-Aus? tralian Wool Realisation Association (Bawra). which will be submitted to the shareholders; at a meeting in .Melbourne on May 23, is a story in millions. . With the completion ,of payment on February "12, 1924, this huge organisation will have distributed £ 21,407,602. _ There is a total surplus now of £ 2,847,21*9. inclusive of last year's surplus of £1,322,531. In 1822 salea amounted to £7,185,198, there being a not surplus of £1,210,865. In 1923. while sales dropped to £4,587,065. th® net surplus increased to jE 1,322,531. * It is beyond all doubt, says tho report, that Vav/rs. assets will exceed by several millions tho subscribed capital of the association (£22,000,000), and the question of taxation on the surplus becomes exceedingly important. The London and Australian boards have given this much thought, and have retained special and taxation experts. No precedent oxists for guidance,, The directors hold th© view that Bawra wo.* founded as a realisation company, and not a" trading concern, and. therefore is not assessable for taxation. Bawra'a legal advisers are of opinion that it would be .inadvisable and impolitio to enter on liquidation proceedings until taxation j issues _ have been finalised, or before matters arising out of the skin-wool action and payment of wool-selling brokers' commission have been finally decided.