8.—6

The domicile of the public debt is a matter which has an important bearing on the whole financial structure of the Dominion. While the total debt has grown enormously during the war period, it is interesting to note that over two-thirds of the total is now held within the Dominion. The position is : — External debt — £ £ London .. .. .. 199,102,978 Australia . . .. . . 861,300 — — 199,964,278 Internal debt— Long-term debt .. * .. 356,274,133 Floating debt .. .. 47,000,000 403,274,133 £603,238,411 Apart from the war debt, it is satisfactory to note that there has been a reduction in our external debt during the year of £2,012,000.

Domicile of public debt.

Having covered the more important accounts and the major transactions affecting the public debt, I will now conclude this review of the past year with a summary giving the sources from which the total receipts amounting to £214,600,000 were obtained : —

Receipts: Summary, 1944-45.

The figures in the taxation column can be reconciled with the respective public accounts by deducting from the accounts and adding to the Consolidated Fund total the transfers of £4,000,000 to War Expenses Account and £4,500,000 to Social Security Fund. In addition, the Consolidated Fund surplus from the previous year £2,200,000 was transferred to War Expenses Account. Deducting the last-mentioned sum of £2,200,000, the analysis of taxation receipts for 1944-45 was as follows :— Direct Taxes— On income— £(m.) £(m.) £(m.) Income-tax .. . . 34 • 2 Social security charge . . . . 13-7 National security tax ~ .. 20-5 68-4 Other— Land-tax .. . . . . 1-0 Estate, succession, and gift duty .. 5-0 Social security registration fee .. 0-6 — 6-6 75-0 Indirect Taxes — Customs duty .. .. .. . .11-3 Beer .. .. .. .. .. 3-6 Sales tax .. .. .. 13-6 Highways revenue .. .. .. 1-9 Stamp duties .. .. . . .. 2-3 Others .. .. .. .. .. 1-0 33-7 Total taxation .. .. £108-7 The total receipts of £214,600,000 is comparable with the figure quoted last year in the sum of £221,200,000 showing a net reduction over all the activities covered of £6,600,000. What is more important, however, is the fact that, notwithstanding the magnitude of the problems facing us, we have again been able to

11

m Reciprocal T Other Total Taxation. ,. Loans. t, . , t, Aid. Receipts. Receipts. £(m.) £(m.) £(m.) £(m.) £(m.) War Expenses .. .. 54-9 24-6 54*4 5-1 139-0 Consolidated Fund . . .. 37-2 .. .. 8-5 45 • 7 Social Security .. .. 18-8 .. .. .. 18-8 National Development Loans .. .. 11-1 .. 11*1 Totals .. .. 110-9 24-6 65-5 13-6 214-6