INCOME TAXATION

Wanganui Chronicle, Volume 77, Issue 153, 30 June 1934, Page 8

INCOME TAXATION

ITS VARIOUS CATEGORIES ft address by commissioner Income as separated from capital and an outline of the various classei of income, showing the various categones into which the taxpayers’ ceipts fell, were dealt with in an interesting address given by . Mr. C. E Dowland, Commissioner of Taxes, te the Wanganui branch of the New Zealand Society of Accountants in tin Elrick last evening... Bomo 50 persons were present, Mr. E. M. Silk presiding. Mr. Dowland referred to the more general’y-known sources income, s-uch as receipts from businesses, dividends and interest receivable before proceeding to give instances of finer distin'l ions arising from transactions of an unusual ratine. Under the latter heading came the profits earned by bookmakers in their profession, he continued. Turning to the Lems deductable in arriving at, assessable incomes, he cut. lined the more common deductions anef then the more difficult cases, including the questions of depreciation, writing off bad debts, payments from husband to wife, losses by fire and claims foi damages. Dealing with deduction, I’.o

commissioner pointed out that on expenses of earning income were :. lowed as deductions, although there again, he pointed out, it not always easy to draw fine distinctions Practice relating to returns, assessments and objections were referred to and the speaker mentioned that there were 750,000 files in use in the Taxation Department. He pointed out that certain discretionary powers were given him in respect to the re-opening of assessments where returns had been regularly furnished, and where it was found that during a period of three years previously tax htd beer, overpaid. Tn the**© instances readjustments would be made and tax ovei paid refunded. With regard to penalties for fraudulent returns, there wat provision in the Act for penalties from £:’ to £lOO, as well as the infliction of treble tax. In conclusion, he stressed the fart that the department was always willing to meet taxpayers wherever possible. Alter the address Mr. Dowland answered a number of questions deal, mg with various points of income tax procedure. In moving n vote o? thanks to r. Dowland f‘»r his instructive address, Mr. W. M. Falconet stressed the fart that whilst the average taxpayer regarded the commissioner as something in the nature a grasping mac b: nc, personal contact proved that, after all, he was very human. This applied also to the members of liis staff with whom the general public camo in contact. Mr, Falconer had no hesitation in stating that most cordia’ relationships existed between members of the accountancy profession and the Income Ta ■ De pa rt ni on t.