TAX BURDENS

Otago Daily Times, Issue 27057, 16 April 1949, Page 8

TAX BURDENS

Sir,—ln reply to ” Bewildered s question in the Daily Times as to how he lives and pays his way, I would suggest he uses his brains. The answer is simple. ” Bewtldered’s ” children exempt him from payment of income tax, but at the same time people who have no such exemptions pay income tax: and as the taxable income rises, the rate of tax also .jf 3 to the extent of 12s in the £. Add to this a 15 per cent super tax, plus a flat rate of social security tax at Is 6d In the £. and " Bewildered" can work it out for himself. In other words, the burden is borne by “ Bewildered s fellow men.—l am. etc.. Ipso Facto.

Sir, —Mr Holyoake said “ the Government is taking £67 9s 2d from every member of a household.” Your correspondent, " Bewildered,” fails to grasp the fact that this amount is the average taxation per head of the whole population Many taxpayers pay much more. Very many pay much less. “ Bewildered is one of the latter, and no doubt he fully appreciates that the £2OB per annum which he receives for child allowance is provided from the earnings of others, not from himself. . .... Sir Stafford Cripps has reminded the Socialists in England that “ they cannot have their cake and eat it too. T.he same warning is overdue in New Zealand. The demand for our products is slowly tending to ease. That means lower national income and less revenue from taxes with which to pay for “ free ’ social benefits.—l am, etc.. M.