INCOME TAX

Wanganui Chronicle, Volume 76, Issue 301, 21 December 1933, Page 6

INCOME TAX

PROPOSED EXEMPTIONS BILL BEFORE THE HOUSE I Per Pres 3 Association. I WELLINGTON, Dec. 20. The Land and Income Tax Amendment Act of last session granted exemption of £5O for a married man in respect of his wife. Provision is made in a Bill introduced to-day to grant the same exemption to a woman who sup ports her husband. Casos of hardship have arisen where a widowers or widow has to pay a housekeeper to look after children and the same allowance is now proposed as it the housekeeper were a wife, or, in case of a widow, a husband. Public amateur sports bodies, such as the New Zealand Rugby Union, Cricket Council, etc., are granted exemption from the tax on income other than gate receipts. Gate receipts were never assessed, but interest from investments were. A provision gives the total exempt ion. It is proposed to exclude from exemption the premiums paid on a special class of insurance policies which are purely investments. These - policies require no doctor’s certificate, and, in case of death, the premiums only are returned. It is held that exemption n such cases was not contemplated by the original Act, in which the intention was that provision for dependents after death should be encouraged. Special provision applicable to as scssment of income tax on interest on capital borrowed out of New Zealand states that the amount deducted from the total income by the borrowing company in respect of interest on such money shall be separately assessed, and the tax on it be charged agaiijMl the lenders of the monev.