MR HOLMAN'S BUDGET.

Sun (Christchurch), Volume I, Issue 221, 22 October 1914, Page 10

MR HOLMAN'S BUDGET.

PROPOSALS FOR THE YEAR. By Cable.—Press Association. — Copyright. SYDNEY, October 21. In the Assembly, Mr Holman, in delivering his Budget, said the revenue and expenditure figures were not yet available. He proposed to increase the income tax by a super-tax of 3d in the £, and to impose a tax on motor vehicles. He also intimated that a special tax might be necessary, but added that the ending of the war might falsify all calculations, which were based on the assumption that the conditions to-day would exist a year. Mr Fisher had, he went on to say, a scheme under way which he (Mr Holman) was confident-'would permit-him to meet the additional financial obligations cast upon his Government without imposing additional taxation, at all events this year. The Government intended to encourage extra production by co-operation with banks in making advances to settlers, and giving special inducement for the production of wheat from virgin soil.' REVENUE FIGURES. NEW WHEAT AREAS. (Received October 22, 10.55 a.m.) ';. SYDNEY, October 22. The Budget shows the net revenue as £7yMB,OOO, J, and ; the .expenditure .as £7,106,000. Statutory deductions have left a deficit on Governmenff ■ transactions of £IOO,OOO. v; The estimated revenue for the present year is £7,325;000, and the expenditure £7;683>000. ;, -, Referring to the loan policy, Mr Holman stated, that the increase in the public debt : during "the year . was £10,525j006, and the total/indebtedness. £11fi,695;000. ; V ■';■ - Whilst :a legitimate note issue was, right and proper, the borrowing of large amounts' of paper' money, from the Federal Government would only result in financial disaster. An indiscriminate nqte issue was /one 'of the prize delusions of the age: Regarding the absorption 1 of the unemployed in the new wheat areas the Premier stated that he had,, decided: to guarantee,; a J definite minimum, price for all wheat raised iii the additional areas. It would not be compulsory to sell to the Government, but the.yield could simply be marketed in the usual way. -.■■.-.'■■..-

The Government .anticipate deriving £320,000 from an additional income tax, and £50,000 from the tax on motor vehicles.