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WEDNESDAY, MARCH 2, 1977
THE FINANCIAL SECRETARY POINTED OUT THAT HIS PROPOSAL WAS THAT, IRRESPECTIVE OF INCREASES IN RATEABLE VALUES, THE RATES PAYABLE BY A RATEPAYER IN 1977-78 SHOULD NOT
INCREASE BY MORE THAN 33-1/3 PER CENT OF THE RATES PAID BY HIM IN 1976-77 AND THE RATES PAYABLE BY A RATEPAYER IN 1978-79 SHOULD NOT INCREASE BY MORE THAN 33-1/3 PER CENT OF THE RATES PAID BY HIM IN 1977-78.
HE ADDED THAT A MOTION ASKING THE COUNCIL TO MAKE A RESOLUTION UNDER SECTION 18 OF THE RATING ORDINANCE GIVING EFFECT TO THESE PROPOSALS WOULD BE PUT TO THE COUNCIL ON MARCH 31.
+THIS MEANS THAT DEMAND NOTES FOR THE SECOND QUARTER WILL BE ISSUED A FEW DAYS LATER THAN USUAL, HE SAID.
PERSONAL TAXATION
REGARDING PERSONAL TAXATION, THE FINANCIAL SECRETARY SAID HIS PROPOSAL WAS TO RETAIN THE BASIC PERSONAL ALLOWANCE OF $10,000 FOR A SINGLE PERSON AND $20,000 FOR A MARRIED PERSON, BUT TO SUPPLEMENT EACH WITH AN ALLOWANCE OF $2,500 AND $5,000 RESPECTIVELY, WHICH WOULD BE REDUCED BY 20 PER CENT OF THE AMOUNT BY WHICH THE TAXPAYER'S INCOME EXCEEDS THE SUPPLEMENTED BASIC ALLOWANCE UNTIL THE POINT WAS REACHED WHERE THE ENTIRE SUPPLEMENT DISAPPEARED.
+ IN OTHER WORDS, FOR EVERY DOLLAR OF INCOME IN EXCESS OF $12,500 IN THE CASE OF A SINGLE PERSON AND $25,000 IN THE CASE OF A MARRIED PERSON, 20 CENTS OF THE SUPPLEMENTARY ALLOWANCE WILL BE RECOVERED, OR CLAWED BACK, UNTIL THE ALLOWANCE IS ELIMINATED AND THE TAXPAYER SIMPLY ENJOYS THE BASIC PERSONAL ALLOWANCE OF $10,000 OR $20,000 AS THE CASE MAY BE, HE EMPHASISED.
IN ABSOLUTE TERMS, HE DISCLOSED, TAXPAYERS WITH INCOMES OF ABOUT $3,000 PER MONTH WOULD RECEIVE THE GREATEST BENEFIT.
HE ADDED THAT THIS PROPOSAL WOULD HAVE THE EFFECT OF REMOVING 45,000 SMALL TAXPAYERS FROM THE TAX NET, KEEPING OUT A FURTHER 10,000 WHO WOULD OTHERWISE BECOME LIABLE FOR PROVISIONAL TAX FOR THE YEAR OF ASSESSMENT 1977-78 AND BRINGING SOME RELIEF TO SALARIES (AND PERSONAL ASSESSMENT) TAXPAYERS IN THE LOWER AND MIDDLE INCOME RANGES.
IN ADDITION TO THE SUPPLEMENTARY ALLOWANCE, MR. HADDON-CAVE SAID HE PROPOSED TO INTRODUCE SOME RELIEF TO PERSONS WITH FAMILIES. AS THIS WOULD NOT BE SO EXPENSIVE IN TERMS OF REVENUE, THERE WOULD BE NO NEED TO PROVIDE FOR A CLAW-BACK.
+I PROPOSE, THEREFORE, THAT THE ALLOWANCE FOR THE FIRST CHILD SHOULD BE INCREASED FROM $3,000 TO $4,000 FOR THE SECOND CHILD FROM $2,500 TO $3,000- AND FOR THE THIRD CHILD FROM $1,500 TO $2,000. HE SAID.
HE SONT