COMPANY TAXATION

Otago Daily Times, Issue 25208, 24 April 1943, Page 4

COMPANY TAXATION

ANALYSIS OF FIGURES The 90 companies with assessable income of £50,000 or over comprised only 1.1 per cent, of the total number of companies, but they contributed 44.4 per cent, of the assessable income and 48.2 per cent, of the tax assessed in New Zealand 4n 1941-42. This information is given in the latest Abstract of Statistics. Of the total of 7916 companies which made returns in 1941-42, the assessable income (excluding proprietary income) was less than .£ 1000 in 5328 cases, this figure representing 67.3 of the total number. The aggregate assessable income of these companies amounted, to only 5.8 per cent, of the total assessable incomes of all companies. On the other hand, the 411 companies which had assessable income (excluding proprietary income) of £IO,OOO ana over accounted for "0.8 per cent, of the assessable income. .

Statistics of the incomes of companies have been compiled from the income tax assessments for the assessment year 1941-42.. They show that assessed tax in 1937-38 for 5997 taxpayers with a returnable income of £19,073,540 was £5,377,162. In 1941-42 the taxpayers numbered 7916, who retured an income of £29,740.413, on which tax of £11,695,482 was assessed, this amount including an additional 15 per cent, tax credited to the War Expenses Accqunt. Statistics show that companies with an assessable income of under £2OO comprise the largest group. They number 2488, of the 7916 companies which made returns, and the total tax assessed on them was £30,841. The next largest group of companies was those with assessable incomes of £ 1000£2OOO. They numbered 971, and their total returnable income was £1,442,875, of which the tax assessed was £294,111. The companies which in the aggregate paid most income tax, next to the payers of £4,050,703 in the £IOO,OOO and over group, were those in the £IO,OOO-£20,000 group. They numbered 162, and their assessable income was £2.448,741, and the tax assessed was £1,167.149. '