B.— 6

up the balance of the year's requirements. But the indications are that these resources may fall short, so that any assistance from revenue for capital purposes will be of the greatest aid. ESTIMATED REVENUE. The difficulties of arriving at a close estimate of revenue under present circumstances will, I think, be appreciated by honourable members. The imports are falling off, which means less Customs revenue. Various adverse factors make it probable that land and income tax receipts may also be affected, f estimate the revenue for the year at £24,676,900, as follows : — £ Customs .. .. .. .. .. 7,775,000 Beer duty .. .. .. .. .. 610,000 Stamp and death duties .. .. .. 3,403,100 Postal and Telegraph .. .. .. .. 3,254,000 Land-tax . . .. . . . . . . 1,205,000 Income-tax . . . . . . . . . . 3,425,000 Interest on public moneys .. .. .. 640,000 Interest on railway capital liability .. .. 2,180,000 Interest on Public Debt Redemption Fund . . 870,000 Other receipts .. .. .. .. 1,314,800 £24,676,900 ESTIMATED EXPENDITURE. The estimates of this year's expenditure as already mentioned have been drastically overhauled by an expert committee of heads of Departments. After final revision by Cabinet I estimate the ordinary expenditure at £24,258,549, being a decrease of £97,416 compared with last year's expenditure. In addition to the expenditure included in the estimates, however, I have also to make provision for other items, such as unemployment and further Naval expenditure for Singapore Base, the total of which it is estimated will require about £240,000. ESTIMATED RESULTS. Allowing for the additional items just referred to, I estimate the result of the present year's transactions as follows : — Revenue .. .. .. .. ~ 24,676,900 Expenditure .. .. .. .. .. 24,498,549 Leaving for supplementary estimates .. £178,351 The balance thus leaves very little to work upon, and a strict watch will require to be kept on all fresh claims for expenditure if we are to keep our finances on a satisfactory basis. The effects of the revision of the tariff and adjustment of the income-tax schedule are problematical, and will not be known until the end of the year. The general indications are that the Dominion is gradually freeing itself from temporary difficulties and steadily working towards more favourable conditions.

Estimated revenue.

Estimated expenditure.

Estimated results.

Conclusion.

14