TAXATION BECOMING INTOLERABLE BURDEN

Waikato Independent, Volume XLIV, Issue 6100, 10 September 1947, Page 4

TAXATION BECOMING INTOLERABLE BURDEN

THE EDITOR’S COMMENT,

TAXATION in this Dominion is truly becoming an intolerable burden and the extraordinary thing is that great many people take little if any direct interest in the situation. They go on blindly making their heavy individual contributions; and trying to console themeselves with unfortunate view that their higher wages are enabling them t 6 carry on. They are carrying on; but only just; and for how long? Yes, the wage-earner is the fellow who foots the biggest bill —taxation—and here are some facts relative to the national income and its comparison with taxation levied by the State. The figures are quoted from the Government Abstract of Statistics of March 31 last:— In the year 1937-38 salaries and wages paid from all sources in New Zealand, both by the pi’ivate employer and the State, totalled 98 millions. The total taxation levied by the Government was 36 millions, one being, roughly, one third of the other. 194546 salaries and wages were 185 millions and the cost of Government had risen to 115 millions; taxation in this period now swallowing up a sum well over half of that paid out to the wage-earner. To-day administrative costs of this little country have gone beyond a reasonable thing. We have a veritable army of Government officials and there appears to be no limit to this aspect of increasing costs. As the cost increases the man who draws his wages on a Froday night has the doubtful privilege of footing the bill. He contributes 36 million as a direct deduction from his wage cheque; 15 millions by way of Sales Tax,, which is added to many of the articles he buys from day to day; and a further 15 millions through Customs and Excise duty which has also to be added to the cost of the everyday article he buys over the counter.

Whereas, according to the Abstract of Statistics, wage rates have increased by 35 per cent, since 1938, taxation per head has increased from £23/1/8 to £65/5/10, being 183 er cent.

Surely this is a clear indication that the wage-earner, especially the producing wage-earner, is carrying an intolerable burden. It includes the carrying on his shoulders of far too many non-producing people and when we refer to non-producing people we, of course, refer to people in age groups quite capable of producing. It. is high time that a stronger effort was made to put a stop to this increasingly high mountain of taxation. It is time the wage-earner realised he is being made the scapegoat of the vicious circle and that he is in the hopeless position in the race with wages trying to overtake costs. The war is now over approaching three years and while we realise that much of the control and licensing is still' necessary because' of economic aspects, there ifc, in our opinion, need now for a thorough overhaul, and the average wage-earner should realise to a much greater extent that the controls and regimentation of war years will surely remain in peacetime if he or she does not play the part in having them removed.