BURDEN OF TAXATION.

Otago Witness, Issue 3823, 21 June 1927, Page 36

BURDEN OF TAXATION.

STATEMENT BY MINISTER OF FINANCE. AUCKLAND, June 14. The possibility of an increase rather than a decrease in taxation in New Zealand was mentioned in a letter from the Minister of Finance (the Hon. W. Downie Stewart) received at a meeting of the Council of the Chamber of Commerce. The Minister .wrote acknowledging the receipt of the chamber’s protest against the Government’s failure to reduce taxation in view of the Budget surplus. The Minister stated that he had tried to make it clear in his speech at Feilding how the surplus had come about, and that it could not possibly be a basis on whjjch to justify reduced taxation, more especially in view of the outlook, which might quite possibly call for increased taxation, if the finances of the country were to be kept on a proper basis. However, on the question of an, increase in taxation, this should not be regarded as a considered opinion, he added. * _ • The Chairman (Mr A. G. Lunn) remarked that they had asked for a reduction, and the Minister talked of an increase. The difficulty was that they did not know whether the surplus was a real or merely a paper one. Mr H. Hudson said he had brought the matter to the attention of the Taxpayers’ Federation, which had better facilities for the investigation of Government ac-

counts than any other body. The matter was referred to the executive for consideration.