BETTER BUSINESS

Timaru Herald, Volume CXXXVIII, Issue 19960, 19 November 1934, Page 10

BETTER BUSINESS

INDUCEMENTS TO CONSUMERS That the luxury tax in Paris was bad for business has been abundantly proved since its recent abolition. And more than one department has found that when taxation passes a certain limit, it ceases to yield any benefit to the Treasury. Jewellers, dealers in certain articles of furniture and perfumiers were formerly subjected to a tax of from 6 to 12 per cent., while florists, dressmakers, hotel and restaurant keepers and dealers in motor cars also had to pay a luxury tax ranging from 3 to 6 per cent. Foreign clients were for the most part using currencies which had gone off the gold standard, and this made business extra bad. Since the tak has been repealed, however, business has increased. Many shops are offering their wares at lower figures than even the most optimistic buyers expected, and the turnover tax will more than repay the State for its luxury tax' sacrifice. Special efforts are being made to reduce the general cost of living. While dressmakers and drapers are marking down their dainty creations, grocers, butchers and fruiterers are setting out attractive cheap food counters. They are somewhat discouraged by the sceptical attitude of the Parisienne, who fears that what Is cheap now must be of poor quality, but the cheaper-living movement is determined to fight on. The latest inducement offered by cafe keepers to their clients is free travel. Consumers of coffee and aperitifs are given, tickets which, when collected in sufficient numbers, entitle the customer to a free ticket to his chosen holiday resort. Very thirsty clients can acquire a really extensive tour at the end of six months! One grocer includes a free railway trip of a quarter-kilometre in every box of almonds and raisins, and many shopkeepers are distributing vouchers which entitle the holders to shares in winningtickets in the national lottery. Chances of from 30 to 1000 francs may be acquired by one of these bonus vouchers.