WEDNESDAY, APRIL 23, 1986
REGARDING DIRECT TAXES, SIR JOHN SAID THE GOVERNMENT WOULD CONSIDER CAREFULLY THE FUTURE CASE FOR FURTHER INCREASING PERSONAL ALLOWANCES WHEN THE BUDGETARY SITUATION ALLOWED, FOR LARGER INVESTMENT ALLOWANCES (WHICH CONSORTED ILL WITH LOW DIRECT TAXATION AND CREATED COMPLEXITY), THE CASE FOR SEPARATE TAX FOR MARRIED WOMEN (WHICH WOULD BE EXPENSIVE), AND FOR DEDUCTIONS FOR SELECTIVE ALLOWANCES SUCH AS PRIVATE MEDICAL EXPENSES, MEDICAL INSURANCE AND MORTGAGE INTEREST (WHICH WERE EXPENSIVE IN TERMS OF REVENUE AND ADMINISTRATION).
BUT HE NOTED THAT AT THE END OF THE DAY +A BALANCE HAS TO BE STRUCK+.
+FOR EVERY CONCESSION THERE NEEDS TO BE AN EQUAL ADDITION EITHER IN THE SHAPE OF A NEW TAX OR AN INCREASE ON AN EXISTING TAX.
+ON THE WHOLE,+ SIR JOHN SAID, + PREFER STABILITY.+
THE FINANCIAL SECRETARY SAID HE HOPED THAT IN THE NEXT YEAR OR TWO IT MIGHT BE POSSIBLE TO REDUCE CORPORATE PROFITS TAX TO THE STANDARD RATE OF 17 PER CENT AS THAT MERITED HIGHER PRIORITY THAN CHANGING CONSUMER TAXES OR COMPLICATING WITH DETAIL THE RELATIVELY SIMPLE DIRECT TAXES.
FINALLY, SIR JOHN SAID HE DISLIKED THE CONCEPT OF AN INDEPENDENT TAX COMMISSION AS IT SEEMED THAT RESPONSIBILITY RESTED WITH THE GOVERNMENT AND COULD NOT BE SHARED.
GOOD INFRASTRUCTURE A KEY FACTOR
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THE FINANCIAL SECRETARY, THE HON SIR JOHN BREMRIDGE, SAID TODAY (WEDNESDAY) THAT HE STILL BELIEVED THAT IN GENERAL BUSINESS WAS BEST CONDUCTED BY MOTIVATED BUSINESSMEN IN LOW TAX ECONOMY SUPPORTED BY A WELL EDUCATED WORKFORCE AND A GOOD INFRASTRUCTURE.
SPEAKING ABOUT AID TO INDUSTRY WHEN CONCLUDING THE BUDGET DEBATE IN THE LEGISLATIVE COUNCIL, SIR JOHN SAID, +WE MUST CONTINUE TO BUILD UP OUR INFRASTRUCTURE, IN PARTICULAR IN THE EDUCATIONAL FIELD.+
HE SAID THERE WAS GENERAL AGREEMENT THAT INVESTMENT IN A THIRD UNIVERSITY WAS WISE, THOUGH ONLY ONE MEMBER HAD MENTIONED IT.
+FEW WOULD HAVE PREFERRED AS AN ALTERNATIVE A COMPARABLY EXPENSIVE PROGRAMME OF DIRECT INTERVENTION IN WHAT WOULD POSSIBLY BE A SERIES OF EXPENSIVE WHITE ELEPHANTS.
/+RESOURCES ARE