DODGING THE TAXES

Southland Times, Issue 19229, 20 May 1921, Page 3

DODGING THE TAXES

During the war the British Government, in the national interest, restricted the sale of liquor. The brewers alleged loss of trade, claimed and got allowance of license duties. The real position was: During 1914 to 1919 (inclusive) allowances on license fees to brewers, £7,400,000; increased profits made by 16 leading breweries as compared with 1914, £10,000.000. So that, while the trade as a whole dodged taxation during war-time to the tune of £7,400.000, it was making actually enormously increased profits, as will be seen from the 16 companies above-mentioned. The public purse lost over 7 millions it was entitled to, while the trade, pretending loss, was “profiteering.” In New Zealand brewers are allowed a margin of 10 per cent, to cover possible waste in worts to beer—they pay excise duty on only 90 of every 100 gallons of beer the worts are estimated to make. British brewers are allowed only 6 per cent., which the Chancellor of the Exchequer said was more than enough for I efficient brewers. Suppose we say 5 per ! cent, is liberal, then on the 1920 output the | New Zealand brewers, by getting 10 per ! cent., obtained 800,000 gallons of beer duty free, and public funds got £20,000 less than they were entitled to. After allowing Is i per gallon for cost of production, this 1800,000 gallons sold at 5s per gallon brings i the trade the handsome sum of £160,000. I Do you know of any other New Zealand in- ‘ dustry that is allowed to escape taxation to the tune of £20,000 annually?—N.Z. Alli*,ance Publicity.— (Advt.)