PUBLIC ACCOUNTS

Otago Daily Times, Issue 25240, 1 June 1943, Page 2

PUBLIC ACCOUNTS

SURPLUS EXCEEDS £4,000,000 HEAVY WAR EXPENDITURE Expenditure from the War Expenses Account for the financial year ended March 31 totalled £144,000,000, compared with an estimate of £ 133,000,000. The Minister of Finance, Mr Walter Nash, stated that £7,000,000 of the excess over estimates was due to reciprocal aid to the United States forces. A surplus of £4,155,000 is shown by the Consolidated Fund Account for the year. »The revenue under all heads was £42,362,000, and the expenditure £38,207,000. A comparison of the totals with those for the preceding year is as follows:

In a brief review of the year’s outcome, Mr Nash said the- surplus of £4,155,000 arose from increased revenue, of which income tax provided £2,600.000, and interest receipts, mostly from'the railways, a further £677,000. The Minister said that, in the Social Security Fund, after allowing for the contribution from the Consolidated Fund of £3,800,000, the receipts were sufficient to meet the expenditure, so 'that the balance in the fund at the end of the financial year was approximately the same as at the beginning. The War Expenses Account, Mr Nash said, was. now the principal of the State accounts, and the result for the year disclosed a total expenditure of £144,000,000, compared with the Budget estimate of £ 133,000,000. This increase of £11,0(10,000 arose to the extent of £7,000,000 from reciprocal aid to the United States forces, while the balance of £4,000,000 net was due to subsidies for the purpose of price stabilisation, purchase of stocks for the armed forces, and for essential industries etc.—offset by savings in expenditure by the army and navy. The increase in expenditure would be financed by borrowing in New, Zealand. "A full review of the whole of the public finances will be made when the Budget is presented this week,” said Mr Nash, “ but in the meantime it can be said with confidence that the accounts disclose a very satisfactory state of affairs.”

Revenue Expenditure 1942-43 £ 42,362,000 38,207,000 1941-42 £ 41,241,000 39,569,000 Variation £ *1,121.000 f 1,362,000 Surplus .. 4,155,000 1,672,000 *2,483,000 ‘Increase. tDecreasc. Detailed items of revenue and expenditure are compared with the corresponding figures for the previous year in ! the following tables:Revenue 1942-43 1941-42 Variation £ £ £ Customs .. 7,038,000 8,102,000 T 1,064,000 Beer duty 1,794,000 1,686,000 *108,000 Sales tax 3,601,000 3,546,000 ‘55,000 Film hire tax 108,000 100,000 *8,000 Highways 1,706,000 2,341,000 •635,000 Stamps, etc. 1,708,000 1,737,000 129,000 Land tax 976,000 1,009,000 133,000 Income tax 19,147,000 16,512,000 *2,635,000 Miscellaneous 119,000 129,000 110,000 Total taxation 36,197,000 35,162,000 *1,035,000 Interest .. 4,133,000 3,466,000 ‘667,000 'Other 2,032,000 2,613,000 1-581.000 6,165,000 6,079,000 *86,000 Total revenue 42,362,000 41,241,000 *1,121,000 Expenditure Permanent Debt service 12,396,000 11,120,000 *1,276,000 Other 5,857,000 6,777,000 1920,000 Total perm. .. 18,253,000 17,897,000 *356.000 Annual— All services .. 19,954,000 21,672,000 fl.718,000 Total 38,207,000 39,569,000 11,362.000 ♦Increase. fDecrease.