HEAVIER TAXES

New Zealand Herald, Volume LXXVIII, Issue 23953, 1 May 1941, Page 9

HEAVIER TAXES

CANADIAN BUDGET VAST WAR DEMANDS COMING YEAR'S OUTLAY (Real. 5.15 p.m.) OTTAWA. April ->n Canadians this year would have to forgo still further less essential civilian requirements in the interests of war production, said the Canadian Minister of Finance, Mr. J. L. llsley, in introducing the Budget. He said 2,000,000,000 dollars would be needed in the current fiscal year. New taxation would produce .'i()0.000,0()0 dollars. Loans required would amount to '1,000.000,000 dollars. Provincial Governments were asked to vacate the income and corporation taxfield for the duration of the war.

Corporation and income taxes would all be sharply increased. National Defence Tax would be increased by 4 per cent. Increased taxes would be imposed on gifts, excess profits, automobiles, wines and other luxuries. There would lie a 20 per cent tax on motion picture entertainment and 5 [kt cent on race track betting. Taxation returns last year yielded 778,000,000 dollars. Income tax increased by 50 per cent. War Account

expenditure amounted to 816.000,000 dollars, and ordinary expenditure to 393.000,000 dollars, of which 70 per cent was interest on the public debt. Bevenue readied the unprecedented total of 872,000,000 dollars. The deficit for the year was 39.").000,000 dollars. Canada's National Debt at March 31 had reached 3,606,000.000 doll a rs.

Under the new income tax scale, a married man with no children with an income equivalent to £6OO a year will pay £BO in income tax, compared with £37 previously.

BRITISH MANOEUVRES IMPRESSIVE TANK FORCE (Herd. 0.30 p.m.) LONDON, April 30 Extensive military exercises were held in East Anglia recently, the "invaders" being thrown back into the sea. Seventy-five thousand men took part in the exercises, as well as aircraft and 10,000 armoured vehicles. Describing this giant exercise an agency war correspondent states how impressed he was by the efficiency and endurance of the troop;; taking part, says a British official wireless message. Of their equipment, he says: "British tanks by the hundreds were all manned by splendidly tough, picked crews. A few short months ago this was still a dream. Now it is an accomplished fact." CANADIAN TROOPS SPECIALIST DETACHMENTS (Reed. 5.5 p.m.) LONDON, April 20 Included in the new contingent of Canadian troops which arrived in England reccnth is an armoured corps group, made up of officers and noncommissioned officers, who will train with British armoured divisions and the Royal Tank Corps, and thereafter instruct their own men in mechanised warfare, says a British official wireless message. A road construction company has arrived fully equipped with steam rollers. tractors, cement mixers and other equipment- ready to start the work of road building or repairing. Gunners, after training with base units, will go to artillery regiments in the field t<> man anti-tank and anti-aircraft guns. The men aro in great spirits. BRITONS IN SPAIN LONDON, April 'Jo The Berlin radio has announced that 31 British subjects have been arrested at Valencia for activities against the Spanish State. A number of other Britons are preparing to leave Spain.