C. I
FINANCE
4
Gov.
651
Submits draft Estimates for 1940.
2
6.10.39.
In this brief preliminary survey I have
not attempted to assess these estimates in relation
to the various proposals received since the outbreak
the raising of
of war for mecano additional revenue.
These estimates
were prepared before the outbreak of war and no
account is taken of extra expenses which the war may
occasion. On the other hand the Governor has pro-
posed the institution of a separate war budget,
which
revenue for me is to be raised by means of additional
taxation of one form or another, although at the
moment no decision has been reached with regard to
this extra taxation. Furthermore, no allowance has
been made in these estimates for possible increases
in revenue on the lines laid down in the Taxation
Committee's report. It is to be hoped that the
position will have been clarified to some extent when
the estimates come to be considered in their final
form.
This is an interim budget covering a 15
month period (January 1940 to March 1941) necessary
to effect the change in the Colony's financial year
from the calendar year to the April/March year. This
accounts for the general 25 per cent. increase in
recurrent charges.
Bearing