NATIONAL SAVINGS BILL

Southland Times, Issue 24180, 17 July 1940, Page 6

NATIONAL SAVINGS BILL

MEANS OF RAISING MONEY FOR WAR PURPOSES (From Our Parliamentary Reporter) WELLINGTON, July 16. The National Savings Bill introduced in the House this evening provides facilities for the issue of national savings bonds and national savings investment accounts, described in the Budget as a means of raising money for war purposes. National savings investment accounts may be opened with the Post Office or with an authorized savings bank, and any sum from a shilling may be deposited, the maximum being £lOOO. The money is to be invested for a fixed term and compound interest will be payable, the interest rate to be fixed by the Minister of Finance (the Hon. W. Nash). A clause empowers the withdrawal of investment before the end of the fixed period on the ground of special emergency or hardship. If the investment is not withdrawn three months following the end of the period it will be deemed to have been reinvested. National savings bonds are to be issued in denominations and'at rates of interest fixed by the Minister, and may be redeemed at any time before maturity on terms to be defined in the regulations. Unless otherwise indicated on the bond, it is transferable on delivery. Bonds payable to the bearer are to be registered with the Commissioner of Taxes and for the purpose of the Land and Income Tax Act the difference between the price paid on the issue of a bond and the nominal value of the bond shall be deemed to be income accrued on March 31 in each year.