LOWER TAXATION IN AUSTRALIA

Southland Times, Issue 22992, 11 September 1936, Page 7

LOWER TAXATION IN AUSTRALIA

Reduction Of Over £5,000,000 PENSIONS INCREASED BY 1/- A WEEK DEFENCE PROMINENT IN BUDGET (United Press Assn.—Telegraph Copyright.) (Rec. 10.35 p.m.) Canberra, Sept. 10. Outstanding points in the Federal Budget, which was delivered in the House of Representatives to-day by the Treasurer (Mr R. G. Casey) are:— (1) Taxation is to be reduced by £5,275,000. The remissions include a cut of £3,000,000 in the sales tax, one of £2,105,000 in tire income tax and one of £170,000 in primage duty. (2) The special property tax is to be abolished. (3) The normal income tax is to be reduced by 10 per cent. (4) Old age and invalid pensions are to be increased from 18/- to 19/a week. (5) Federal servants salaries are to be fully restored, the pay of Federal Ministers and Members of the House of Representatives being restored to within 71 per cent, and 5 per cent, respectively of the normal rates. Last year’s surplus was £3,567,000, of which £2,000,000 will be applied to defence, which increases to £8,766,107. The remainder will be applied to reducing the accumulated deficit and to special grants to the States. Tire surplus this year is expected to be £45,000. Revenue is expected to be £81,550,000 and expenditure £81,505,000. Very Healthy Finances. Mr Casey said that much improved conditions were reflected in the finances. Exports had reached £108,000,000, compared with £90,000,000 for the previous year. Wool realized nearly £18,000,000 more and wheat nearly £6,000,000 more, while the overseas commodity balance had increased by £6,000,000 to £22,000,000. Imports had increased by £11,000,000 to £85,000,000. Unemployment, said the Minister, was down almost to the pre-depres-sion level, and saving bank deposits had increased by £7,000,000. Overseas debt conversions amounted to £43,000,000, bringing the total since 1932 to £198,000,000 .on which the savings in interest and exchange amounted to almost £4,000,000. State deficits, which amounted to £20,000,000 in 1931-32, were now down to £2,430,000. Mr Casey added that the economic future of Australia appeared brighter to-day than at any time since 1929.