INCOME TAX.

Southland Times, Issue 21581, 19 December 1931, Page 7

INCOME TAX.

To the Editor. Sir, —I have been working out the rate in the £ of income tax on various incomes starting with an income of £BOO a year. On incomes less than £BOO a year exemption takes (-Sect and complicates the result. I take no notice of the 30 per cent, super tax, or of the 4d. in the £ flat rate, but deal only with the rate on which the tax is based. Taking assessable incomes of multiples of £BOO we get as follows: Assessable income £BOO rate in the £ 1/-

No matter how much the assessable income exceeds £BBOO the rate in the pound remains stationary at 4/6. Is it not curious that while a man with an assessable income of £BOO has to contribute 1/- in the £, an income of eight times as much, namely £6400 a year, pays only 4/0} in the £, and an income of sixteen times as much is assessed at 4/6 in the £?—l am, etc., TAXPAYER.

ft ” 1600 if ’’ 1/71 » 2400 p 2/11 M •> 3200 2/71 fl >» 4000 p 3/1J fl •> 4800 11 1) 3/51 ft II 5600 1* II 3/91 ft 6400 fl II 4/0} fl >1 7200 1* II 4/2} •f 8000 u II 4/4} fl 8800 p fl 4/6