A TAX ON PROFITS.

Star (Christchurch), Issue 7727, 10 June 1903, Page 2

A TAX ON PROFITS.

A special meeting p f the. London Chamber of Commerce was held recently fo? the purpose of considering and deciding what action should be taken in regard to the'enforcement of sections of the Income Tax Xcts,- which have hitherto been permitted to remain^ inoperative, whereby commercial agents in England may become chargeable with the tax upon the profits made by their foreign principal* _on the trade done in the United Kingdom. It was pointed out' by the chairman, Mr Francis Barnes, that the matter was one of ,tho gravest importance to agents, who would be liable for considerable amounts if the Inland Revenue

authorities substantiated 1 their claims, as income tax was (already paid upon the commissions earned, and a further tax would be very seriously felt. At present only one trade seemed to have been selected, but if the Revenue succeeded in this experiment all foreign and colonial firms doing business in England would suffer. If the new departure became general there would be a great dislocation of trade, and foreign ports would do tjie business that was now (transacted in the Mother Country. If travellers were employed instead of agents, the Government would lose the income tax now paid by the agents. A resolution was adopted protesting against' the new impost, and a committee was appointed? to lay before the Chancellor of the I&chequer the grievances of which the meeting complained.