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22.
201
inmaterial whether the Government actually refunded the money
or allowed it to be deducted from the next payment due. The
former is however the method adopted under the present system of accounts in this Colony, and invloves a loss of
20% to the Colonial Revenue on all 'refunds of Revenue',
which would be evaded by the alternative system.
Z It may appear as though these anomalies could be
avoided by assessing to the payment of the percentage only such bona fide sources of Revenue as are imposed by law ob
result as "Earnings of Bovernment". Taking the Estimates of
the current year (1908) the items shown in the enclosure would
in the opinion of the Treasurer be eliminated, and in order
to preserve the Contribution at its present incidence the
percentage x iix leviable on the properly assessable Revenue would have to be increased to 20.97% or alternatively the Contribution would be decreased by $53,894, (say £5389). Argument however would assuredly arise as to which iteme should properly be eliminated - for instance it might
conceivably be urged that before the proceeds of a special license imposed by law were credited to Revenue the expenses
of collection should be deducted.
The method proposed of levying the Contribution on the
Balance or Margin avoide all these difficulties, and equally
disposes of the objections which are inherent in the system
of a percentage on Gross Revenue.
It has the special merit of giving effect to Mr.
Chamberlain's dictum that the Contribution should vary from
year to year with the prosperity of the Colony, an object which is not attained by the present system.
More increase in the business of Administration, the
inclusion
2
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