BURDEN OF TAXATION.

Otago Witness, Issue 3672, 29 July 1924, Page 30

BURDEN OF TAXATION.

THE GOVERNMENT’S ROLICY. On© of the statements made by the Minister of Finance in placing the Budget before the House of Representatives on Wednesday was as follows: The all-important question of taxation has continued to receive careful and detailed consideration. In pursuance of the policy the Government has adopted, of gradually reducing taxation as conditions r>ermitted, you will again be asked to approve of further remissions. These will be adjusted in such a manner as to give the greatest relief to all classes of the community, and, at the same time, to stimulate the productive powers of the dominion. On the present basis of taxation the revenue for the current year would probably produce £28,857,620, whilst the expenditure is estimated at £27,505,060, leaving a credit balance of £1,352,000. The remissions -granted last year are valued at £1,200.000, ■ and this year, after providing for interest and debt-reduction charges, as well as for the efficient and economical administration of departments and services, l hope to be able to ask Parliament to reduce the burden of taxation by about £1,000,000, particulars of which will he supplied in the legislation dealing with the subject. I must, however, again remind those who, indifferent as to cost, and unable to say wnere the money is to come from, clamour in one voice for increased expenditure and a reduction in taxation, that they cannot have both. I quite recognise that, as the population grows and the national wealtn increases, the expenses of government, no matter how economical! v administered. must expand, but that expansion must not be greater than the increase in income. There should be a sufficient margin to ensure safe finance and to provide some contribution towards reducing the dead weight- of our war debt—one of the best means of easing the taxpayer.