INCOME AND EXPENDITURE

Wanganui Chronicle, Volume 77, Issue 152, 29 June 1934, Page 4

INCOME AND EXPENDITURE

SURVEY of the income and expenditure of the Dominion during the last five years reveals that receipts have moved upwards and that during the last financial year was higher than in any previous year since 1930. The uptrend in revenue, therefore, has evidently started, that is, with the aid of additional taxation. The figures for the five years are as follows:

Last year’s deficit was, however, reduced by the balance brought forward from the previous year, which amounted to £613,164, so after deducting this sum the net deficit for the year is only £96,114. A small deficit or a small surplus is considered to be the more desirable than a large surplus. Large surpluses are dangerous in that they encourage extravagant demands, whereas a small deficit at the present time is the more satisfactory, for while there is a check put upon the demands which the Government departments will make on the Treasury, increasing values and incomes are likely to lift income revenue to a higher total than it reached during last year, and thus avoid any necessity for imposing further taxes on the public.

Surplus or Year. Receipts. Expenditure. Deficit. 1934 ... . . .. £23,392,749 £24,202,027 —£709,728 1933 .. . . .. 22,568.520 22,528,378 +40,142 1932 .. . . .. 22,719,732 24,860,552 —2,140,820 1931 .. . . .. 23,068,930 24,708,042 —1,639,112 1930 .. . . .. 25,349,859 25,200,822 +149,037