TAX FREE DEBENTURES

Southland Times, Issue 19657, 6 October 1922, Page 5

TAX FREE DEBENTURES

ACCEPTABLE FOR LAND AND INCOME TAX PAYMENT THE CONVERSION SCHEME (Special to the Times.) WELLINGTON, October 5. O'lie Prime Minister made an iiuporiant announcement with regard to the payment of land tax and income tax in the House this afternoon. He said that be had arranged with the Taxation Department that Government 4A per cent, tax free debentures should be accepted at their market value in payment oi land tux and income tax. Members of the House should notice that the debentures were going to be accepted at their market value, not at their face value. Mr Massey added that up to Wednesday evening tax free debentures, totalling £173,490 had been lodged at the Treasury for conversion into 5| per cent., inscribed stock subject to income tax under the scheme of conversion announced recently. Ho thought that in lhe circumstances this was fairly satisfactory. Between £48,000,000 and £49,000,000 worth of tax free debentures had been issued by the Government. Mr Clutha MucKenzie (Auckland East) asked if the 4' per cent, debentures issued for payment of income tax would still bo available for that purjjose after conversion. The Prime Minister replied in the affirmative. He intended, to insert a clause in the Finance Bill to make it clear that these debentures were available for conversion.