CO129-597-2 Estimates 1949 1-3-1948 - 14-7-1949 — Page 264

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particularly where overseas expenditure

is concerned, are so greatly strained. Accordingly and w 2. In view of the poor response with

which I understand first issue of the

$50 million loan has met and the small

surplus envisaged next year even after

allowing for $10 m. arrears of revenue from

current year, I consider all possible

measures to increase revenues still further

including the raising the present rate of the

Earnings and Profits tax should be examined

forthwith. As the Colony is experiencing

great commercial prosperity at present, it

would seem that un increase of taxation

In particular t seems desirable of possible

To tax,

particularly if it can be applied to funds puck as

eg refugee capital which has hitherto

escaped, could be borne now without hard-

ship.

3. I should be glad to learn as soon as

possible what steps you consider can be

taken with the above end in view.

4.

Y Is revised revenue estimate current

year $147 m. after allowing for 10 m.

arrears carried forward to next year or is

actual cash revenue estimated at $137 m.

5. what is revised estimated expenditure

current year.

6. Grateful for further information

regarding S.T. I. profits.