Fiji Plans For 1946
p. 19 · Read in the full issue
Increased Taxation But Decreased Expenditure
Suva, Dec. 30.
FIJI, which appears to the overtaxed millions as a veritable paradise, is to have a slight increase in taxa tion in 1946 (see article elsewhere this issue), but that Authority in Fiji still sees the light is indicated by the Gover nor’s speech at the opening of Legis lative Council on December 14; “ To impose taxes,” said Sir Alex ander Grantham, “so high that the law of diminishing returns came into operation would be foolish and harm ful to our economy. Taxation should not be at such a high level that it hampers trade and frightens away capi tal. Nor should it be harsh, so far as the individual is concerned.”
He stated, however, that any Colony would be morally wrong to expect the Colonial Development and Welfare Fund, which is to allot £1,000,000 to Fiji in the next 10 years for m-gent development work, to supply one penny if residents of the Colony itself were not prepared to do everything in their power to stand on their own feet. The Development Fund is, of course, financed by the long suffering British taxpayer.
New direct taxation in Fiji will in 1946 produce an increase in revenue of £104,250.
Estimates for the year 1946 allow for an expenditure of £1,639,904 (almost £40,000 less than the estimates passed in 1945) and a revenue of £1,548,901. The £91,000 deficit will be met out of re serves, which stand at present at over £1,000,000.
In the past four years Fiji has spent £3.998,421 on war, of which £1,562,816 came directly out of the Colony’s revenue and the remaining £2,437,184 was provided by the Imperial Treasury. The position in regard to these British advances is not known at present, although the Colony is not required to pay interest on them.
War expenditure in 1946 will come under the -heading of “defence” and will be an estimated £151,000. Other expen diture taken into consideration in the estimates is, rehabilitation of Service per sonnel. reorganisation in the Agricultural, Education and Medical Departments and provisions for the Public Relations Office.