Section three of the War Expenses Act, 1939, is hereby amended by omitting from subsection one the words “ten million pounds”, and substituting the words “forty million pounds”.

The Minister of Finance is hereby empowered to borrow, on the security of and charged upon the public revenues of New Zealand, such sums of money as he thinks fit, not exceeding in the aggregate the sum of five million five hundred thousand pounds.

The sums so borrowed shall bear interest at such rate as the Minister of Finance prescribes.

All moneys borrowed under the authority of this section shall, as and when borrowed, be paid into the Public Account to the credit of the General Purposes Account of the Public Works Fund, and shall from time to time be applied, in such amounts as may from time to time be appropriated by Parliament, for the following purposes, namely:—

This section shall be deemed to be an authorizing Act within the meaning of the New Zealand Loans Act, 1932, and the moneys hereby authorized to be borrowed shall be borrowed under and subject to the provisions of that Act accordingly.

In addition to all moneys which the Minister of Finance has heretofore been authorized to borrow for the purposes of the construction of main highways, the said Minister may for those purposes borrow, on the security of and charged upon the public revenues of New Zealand, such sums of money as he thinks fit, not exceeding in the aggregate the sum of two million five hundred thousand pounds.

The sums so borrowed shall bear interest at such rate as the Minister of Finance prescribes.

All moneys borrowed under the authority of this section shall, as and when borrowed, be paid into the Public Account to the credit of the Main Highways Account established under section thirteen of the Main Highways Act, 1922.

This section shall be deemed to be an authorizing Act within the meaning of the New Zealand Loans Act, 1932, and the moneys hereby authorized to be borrowed shall be borrowed under and subject to the provisions of that Act accordingly.

In addition to all moneys which the Minister of Finance has heretofore been authorized to borrow under the Housing Act, 1919, for any of the purposes of that Act, the said Minister may for those purposes borrow, on the security of and charged upon the public revenues of New Zealand, such sums of money as he thinks fit, not exceeding in the aggregate the sum of seven million pounds.

The sums so borrowed shall bear interest at such rate as the Minister of Finance prescribes.

All moneys borrowed under the authority of this section shall, as and when borrowed, be paid into the Housing Account established under section seventeen of the State Advances Corporation Act, 1936.

This section shall be deemed to be an authorizing Act within the meaning of the New Zealand Loans Act, 1932, and the moneys hereby authorized to be borrowed shall be borrowed under and subject to the provisions of that Act accordingly.

In addition to all moneys which the Minister of Finance has heretofore been authorized to borrow for the purposes of the State Supply of Electrical Energy Act, 1917, the said Minister may for those purposes borrow, on the security of and charged upon the public revenues of New Zealand, such sums of money as he thinks fit, not exceeding in the aggregate the sum of two million pounds.

The sums so borrowed shall bear interest at such rate as the Minister of Finance prescribes.

All moneys borrowed under the authority of this section shall, as and when borrowed, be paid into the Public Account to the credit of the Electric Supply Account established under section eight of the State Supply of Electrical Energy Act, 1917.

This section shall be deemed to be an authorizing Act within the meaning of the New Zealand Loans Act, 1932, and the moneys hereby authorized to be borrowed shall be borrowed under and subject to the provisions of that Act accordingly.

In addition to all moneys which the Minister of Finance has heretofore been authorized to borrow for the purposes of the Forests Act, 1921–22, the said Minister may for those purposes borrow, on the security of and charged upon the public revenues of New Zealand, such sums of money as he thinks fit, not exceeding in the aggregate the sum of one million pounds.

The sums so borrowed shall bear interest at such rate as the Minister of Finance prescribes.

All moneys borrowed under the authority of this section shall, as and when borrowed, be paid into the State Forests Account established under section thirty-six of the Forests Act, 1921–22.

This section shall be deemed to be an authorizing Act within the meaning of the New Zealand Loans Act, 1932, and the moneys hereby authorized to be borrowed shall be borrowed under and subject to the provisions of that Act accordingly.

In addition to all other moneys payable into the War Expenses Account established under section two of the War Expenses Act, 1939, the following moneys shall, without further authority than this section, be credited to that account:—

Section two of the War Expenses Act, 1939, is hereby amended by repealing paragraph (a) of subsection four.

All sums issued under section fifty-eight of the Public Revenues Act, 1926, during the financial year ended on the thirty-first day of March, nineteen hundred and forty, in excess of the limits prescribed by subsection three of that section are hereby declared to have been lawfully issued and paid.

During the financial year ending on the thirty-first day of March, nineteen hundred and forty-one, there shall, without further appropriation than this section, be paid out of the Consolidated Fund into the Public Service Superannuation Fund, the Teachers’ Superannuation Fund, and the Government Railways Superannuation Fund respectively such amounts, not exceeding in the aggregate the sum of two hundred thousand pounds, as the Minister of Finance may from time to time direct.

The amounts payable under this section are in addition to any other moneys payable out of the Consolidated Fund into any of the said funds.

Section four of the Finance Act (No. 2), 1939, is hereby repealed.

There shall be paid in each year out of the Consolidated Fund to every member of the Executive Council who is a member of the War Cabinet and does not hold any of the Ministerial offices mentioned in Part I of the Third Schedule to the Civil List Act, 1920, a salary at the rate of one thousand one hundred and seventy pounds per annum.

No payment under section ten or section seventeen of the Civil List Act, 1920, or section fourteen of the Finance Act, 1933 (No. 2), shall be made to any person for any period during which he is in receipt of a salary under this section.

For the purpose of calculating in accordance with section eighty of the Land and Income Tax Act, 1923, the assessable income of any Minister of the Crown who has contributed any portion of the salary paid to him in any year under section ten of the Civil List Act, 1920, to any common fund established for the purposes of any scheme for augmenting the salaries of members of the General Assembly or of any class of such members, the portion of the salary so contributed shall be deemed to be an expense exclusively incurred in the production of that salary.

The amount by which the salary of any member of the General Assembly is augmented pursuant to any such scheme shall be deemed to be income derived by that member for the purposes of the Land and Income Tax Act, 1923, but shall not be deemed to be salary, wages, or other income derived by him for the purposes of Part IV of the Social Security Act, 1938.

This section shall apply with respect to the income-tax, Social Security Charge, and National Security Tax for the year of assessment that commenced on the first day of April, nineteen hundred and forty, and for every subsequent year.

Notwithstanding anything to the contrary in any Act, the person for the time being holding office as the High Commissioner in New Zealand for His Majesty’s Government in the Dominion of Canada, and every member of his official staff who is certified by the High Commissioner to be resident in New Zealand solely for the purpose of performing his official duties shall be wholly exempt from liability to pay land-tax, income-tax, Social Security Contribution, Customs duties, or sales tax, or any other form of public taxation that may from time to time be specified in that behalf by the Minister of Finance.

If any question arises as to the extent of the exemption conferred by this section it shall be determined by the Minister of Finance, and his decision shall be final.

This section shall be deemed to have come into force on the first day of March, nineteen hundred and forty.

Section one hundred and fifty-one of the Public Revenues Act, 1926, is hereby amended by omitting from subsection one the words “two pounds”, and substituting the words “three pounds”.

This section shall be deemed to have come into force on the first day of October, nineteen hundred and thirty-nine.

The Minister of Finance may from time to time, on behalf of His Majesty, subscribe for or otherwise acquire shares in the company called New Zealand Woolpack and Textiles, Limited.

The Minister of Finance may from time to time borrow, on the security of and charged upon the public revenues of New Zealand, such sums of money as may be required for the acquisition by him of any such shares. The sums so borrowed shall bear interest at such rate as the Minister prescribes. This section shall be deemed to be an authorizing Act within the meaning of the New Zealand Loans Act, 1932, and the moneys hereby authorized to be borrowed may be borrowed under and subject to the provisions of that Act accordingly.

Without affecting the authority conferred by the last preceding subsection, any payment required to be made by the Minister of Finance in respect of the acquisition of any such shares may be made without further authority than this section out of any balances in the Public Account, and payments so made shall be regarded as investments of such balances made under section thirty-nine of the Public Revenues Act, 1926.

There shall be levied and paid in accordance with this Part of this Act a special tax, to be known as the National Security Tax.

Subject to the provisions of this Part of this Act, the National Security Tax shall consist of a charge on salaries, wages, and other income at the rate of one penny for every sum of one shilling and eightpence or part thereof included in every amount in respect of which the tax is payable.

National Security Tax shall be assessed, collected, and recovered in respect of the same persons, companies, and public authorities and the same income and in the same manner, and shall be payable at the same times, as the charge imposed on salaries, wages, and other income by the Social Security Act, 1938 (hereinafter in this Part of this Act referred to as the Social Security Charge).

Subject to any special provisions in this Part of this Act, the Social Security Charge and the National Security Tax shall be deemed to be a combined charge at the rate of one penny for every sum of tenpence or part thereof included in every amount in respect of which the combined charge is payable, and all the provisions of the Social Security Act, 1938, and of the regulations under that Act shall, so far as they are applicable, apply accordingly as if the references therein to the Social Security Charge or to the rate thereof were references to the combined charge or to the rate thereof.

The National Security Tax on salaries and wages shall be payable in accordance with this Part of this Act in respect of all salaries and wages derived in respect of any period after the twenty-first day of July, nineteen hundred and forty. For the purposes of this section the expression “salaries and wages” includes all income to which section one hundred and eighteen of the Social Security Act, 1938, applies.

Subject to the next succeeding subsection, the National Security Tax on income other than salaries and wages shall be payable in accordance with this Part of this Act in respect of all income derived (or deemed by the Social Security Act, 1938, or by any regulations thereunder to have been derived) during the year ended on the thirty-first day of March, nineteen hundred and forty, or derived during any subsequent year.

The liability of any person, company, or public authority to the National Security Tax in respect of income derived or deemed to have been derived during the year ended on the thirty-first day of March, nineteen hundred and forty, shall be limited to an amount equal to the amount of the instalments of Social Security Charge which become due and payable by that person, company, or public authority in respect of that income after the passing of this Act, or which but for any payment in advance would have become so due and payable.

Every non-resident company to which section two of the Social Security Amendment Act, 1940, applies shall be liable for National Security Tax to the same extent as if the liability for Social Security Charge imposed by that section had extended to income derived by the company from New Zealand for the year ended on the thirty-first day of March, nineteen hundred and forty.

This Part of this Act shall be read together with and deemed part of the Sales Tax Act, 1932–33 (hereinafter in this Part referred to as the principal Act).

This Part of this Act shall be deemed to have come into force on the twenty-eighth day of June, nineteen hundred and forty.

This Part of this Act shall apply with respect to the sales tax on all goods which are at any time after the commencement of this Part of this Act sold in accordance with paragraph (a), or manufactured in accordance with paragraph (b), or imported in accordance with paragraph (c) of subsection one of section eleven of the principal Act.

With respect to the sales tax on goods other than goods referred to in the last preceding subsection, the principal Act shall apply as if this Part of this Act had not been passed.

Section eleven of the principal Act is hereby amended by omitting from subsection one the words “five per centum”, and substituting the words “ten per centum”.

Section twenty-one of the principal Act is hereby amended by omitting from paragraph (a) of subsection one the words “five per centum”, and substituting the words “two and one-half per centum”.

This Part of this Act shall be read together with and deemed part of the Death Duties Act, 1921 (hereinafter in this Part referred to as the principal Act).

This Part of this Act, so far as it relates to death duties, shall apply with respect to the estates of all persons dying after the thirtieth day of June, nineteen hundred and forty, and, so far as it relates to gift duty, shall apply with respect to all gifts made after that date.

With respect to estates and gifts other than those referred to in the last preceding subsection, the principal Act shall apply as if this Part of this Act had not been passed.

The Schedule to the Finance Act, 1939, is hereby repealed, and the First Schedule to this Act is hereby substituted therefor.

Section twelve of the principal Act is hereby amended by omitting the words “one thousand pounds”, and substituting the words “two hundred pounds”.

Section twenty-three of the Finance Act, 1939, and Part III of the War Expenses Act, 1939, are hereby repealed.

Except as otherwise provided in the principal Act, succession duty shall be payable on every succession, and shall be a percentage of the value of the succession, varying in manner provided in this section.

If the successor is the wife of the deceased (whether or not she is also a relative of the deceased by blood), succession duty shall be charged and assessed in accordance with the graduated scale of percentages set out in the Second Schedule to this Act:

Provided that the amount of succession duty payable on any such succession shall, where necessary, be reduced so as not to exceed the difference between the amount of estate duty payable in respect of that succession and fifty per centum of the value of the succession.

If the successor is the husband of the deceased (whether or not he is also a relative of the deceased by blood), succession duty shall be charged and assessed in accordance with the graduated scale of percentages set out in the Third Schedule to this Act:

Provided that the amount of succession duty payable on any such succession shall, where necessary, be reduced so as not to exceed the difference between the amount of estate duty payable in respect of that succession and fifty per centum of the value of the succession.

If the successor is a child, grandchild, or other lineal descendant of the deceased, succession duty shall be charged and assessed in accordance with the graduated scale of percentages set out in the Fourth Schedule to this Act:

Provided that the amount of succession duty payable on any such succession shall, where necessary, be reduced so as not to exceed the difference between the amount of estate duty payable in respect of that succession and fifty per centum of the value of the succession:

Provided also that in any case where the successor is a child of the deceased and is under the age of twenty-one years at the death of the deceased no succession duty shall be payable on any such succession if the value of the succession does not exceed one thousand pounds, and the succession duty payable on any such succession shall not in any such case exceed the amount by which the value of the succession exceeds one thousand pounds.

If the successor is the father or mother or the stepfather or stepmother of the deceased, or the brother or sister or the half-brother or half-sister of the deceased, succession duty shall be charged and assessed in accordance with the graduated scale of percentages set out in the Fifth Schedule to this Act:

Provided that the amount of succession duty payable on any such succession shall, where necessary, be reduced so as not to exceed the difference between the amount of the estate duty payable in respect of that succession and fifty-five per centum of the value of the succession.

If the successor is any other relative of the deceased in any degree not more remote than the fourth, succession duty shall be charged and assessed in accordance with the graduated scale of percentages set out in the Sixth Schedule to this Act:

Provided that the amount of succession duty payable on any such succession shall, where necessary, be reduced so as not to exceed the difference between the amount of the estate duty payable in respect of that succession and fifty-five per centum of the value of the succession.

In all other cases succession duty shall be charged and assessed in accordance with the graduated scale of percentages set out in the Seventh Schedule to this Act:

Provided that the amount of succession duty payable on any such succession shall, where necessary, be reduced so as not to exceed the difference between the amount of the estate duty payable in respect of that succession and sixty per centum of the value of the succession:

Provided also that where the value of the succession does not exceed one thousand pounds no succession duty shall be payable on any property left by the will of the deceased or otherwise acquired and held on any charitable trust in New Zealand.

Where the value of any succession exceeds one thousand pounds and the successor is domiciled out of New Zealand and is not the wife or husband of the deceased or a relative of the deceased in any degree not more remote than the third, there shall be payable as succession duty, in addition to the succession duty payable as aforesaid, an amount equal to ten per centum of the value of the succession, but not exceeding in any case the amount by which that value exceeds one thousand pounds.

For the purposes of this section the amount of estate duty payable in respect of any succession shall be deemed to be the amount that bears to the total estate duty payable on the final balance of the estate the same proportion as the value of the succession bears to the final balance.

This section is in substitution for section twenty-six of the Finance Act, 1939, and that section is hereby accordingly repealed.

Section forty-six of the principal Act, as amended by section twenty-seven of the Finance Act, 1939, is hereby further amended by repealing paragraphs (b), (c), (d), and (e) of subsection one, and substituting the following paragraphs:—

Section twenty-seven of the Finance Act, 1939, is hereby repealed.

Section eighteen of the principal Act, paragraph (a) of subsection one of section two of the Death Duties Amendment Act, 1923, and section eleven of the Finance Act, 1923, are hereby repealed.

Notwithstanding the repeal of the said section eleven, the property comprised in any gift which at the time when it was made was exempt from gift duty on the ground that it created or was in aid of a charitable trust shall not be included in the final balance of the estate of the donor, notwithstanding that he may die or may have died within three years after having made the gift.

Notwithstanding anything to the contrary in the principal Act,—

Notwithstanding anything to the contrary in section twenty-five of this Act, this section shall apply with respect to gifts made at any time before or after the passing of this Act and with respect to the estates of persons dying at any time before or after the passing of this Act.

For the purposes of section forty-one of the Finance Act (No. 2), 1939, the term “local authority” shall be deemed to include and to have always included an Electric-power Board.

The Transport Licensing Passenger Regulations 1936, Amendment No. 2 (Serial number 1939/250), shall be deemed to have come into force on the first day of April, nineteen hundred and thirty-nine.

The provisions of the Electoral Act, 1927, as to the disqualification of members of Parliament or of candidates for election as members of Parliament shall not apply with respect to any payment that has been or may hereafter be received out of public moneys by any member of Parliament in respect of his attendance at meetings of any Select Committee appointed by the House of Representatives.

Whereas the Honourable Arthur Tyndall, Judge of the Court of Arbitration (hereinafter in this section referred to as the contributor), was at the time of his appointment as Judge of the said Court a contributor to the Public Service Superannuation Fund established under Part I of the Public Service Superannuation Act, 1927, and had then been a contributor to that Fund continuously since the first day of June, nineteen hundred and fifteen: And whereas the office of Judge of the Court of Arbitration is not an office to which Part I of the Public Service Superannuation Act, 1927, is applicable, and it is desirable, for the purpose of preserving the superannuation rights of the contributor to the extent hereinafter provided for, that he should continue for the period hereinafter specified to be a contributor to the said Fund: And whereas it is desirable at the same time to remove any doubts that may exist as to the validity of his appointment as Judge of the Court of Arbitration: Be it therefore enacted as follows:—

Notwithstanding that the provisions of Part I of the Public Service Superannuation Act, 1927, do not apply to any Judge of the Court of Arbitration, the contributor shall, during the period hereinafter specified, continue to be a contributor to the Public Service Superannuation Fund.

The period referred to in the last preceding subsection means the period of six years ending on the eighth day of March, nineteen hundred and forty-six, if the contributor continues for so long to hold office as Judge of the Court of Arbitration, and, in any other event, means the period for which he continues to hold the said office.

During the period aforesaid the rate of the salary of the contributor for the purposes of Part I of the Public Service Superannuation Act, 1927, shall be deemed to be the rate of the salary to which he was entitled immediately before his appointment as Judge of the Court of Arbitration.

On the expiry of the period aforesaid the contributor shall, unless he has vacated his office by death or unless he is then appointed to an office in the Public Service to which Part I of the Public Service Superannuation Act, 1927, is applicable, be deemed for the purposes of the said Part I to have retired from the Public Service.

If on the expiry of the said period the contributor becomes entitled, by virtue of section sixty-four of the Industrial Conciliation and Arbitration Act, 1925, to receive any superannuation allowance in respect of his office as Judge of the Court of Arbitration, the rate of the retiring-allowance payable to him from the Public Service Superannuation Fund shall be reduced by the rate of such superannuation allowance.

Subject to the foregoing provisions of this section, all the provisions of the Public Service Superannuation Act, 1927, shall apply with respect to the contributor as if his office as Judge of the Court of Arbitration were an office to which the provisions of the said Part I were applicable.

The appointment of the contributor on the ninth day of March, nineteen hundred and forty, as Judge of the Court of Arbitration is hereby declared to be and at all times since that date to have been valid and effectual.

Section eleven of the Finance Act, 1933, shall extend and be deemed heretofore to have extended to authorize the expenditure of moneys with the approval of the Lands Development Board out of the Land for Settlements Account for the making of advances to lessees for the protection, preservation, and improvement of any buildings for the time being subject to the provisions of section sixty-one of the Land for Settlements Act, 1925.

The authority conferred by this section shall extend and shall be deemed heretofore to have extended to authorize the expenditure of moneys with the approval of the Lands Development Board out of any appropriate fund or account in the Public Account for the making of advances to lessees for the protection, preservation, and improvement of buildings included in the capital value of any land for the time being leased under the provisions of the Land Act, 1924, the Land for Settlements Act, 1925, or the Discharged Soldiers Settlement Act, 1915.

All moneys advanced under the authority of this section in respect of any land shall bear interest at a rate to be determined by the Minister of Finance, and shall be secured by way of mortgage over that land or over the lessee’s interest in the land.

The census which by section four of the Census and Statistics Act, 1926, is required to be taken in the year nineteen hundred and forty-one shall be taken in such year, not being earlier than the year nineteen hundred and forty-one or later than the year nineteen hundred and forty-five, as the Governor-General appoints by Proclamation, and the next census to be taken thereafter in accordance with that section shall be taken in the year nineteen hundred and forty-six.

The Census Postponement Act, 1930, is hereby repealed.

Where the widowed mother of any member of His Majesty’s Naval, Military, or Air Forces who for the time being is not married receives pursuant to an allotment made by him a part of the pay and allowances earned by him as such member being in excess of two shillings a day the amount of that excess shall not be deemed to be part of the income of the mother for the purposes of Part II of the Social Security Act, 1938.