Sir HENRY DRAYTON:
Both sides were represented. The memorandum proceeds:
After the order was issued automobile dealers applied for refund of taxes paid on automobiles which were still in stock. The Retail Merchants' Association took the matter up and made very strenuous representations. No refund was granted but at the suggestion of the then Minister of Finance representatives were appointed to go into the matter directly in behalf of the automobile industry, such representation to include not only
Ways and Means-Sales Tax
the manufacturers but also the dealers. The dealers and manufacturers shortly afterwards met the minister who pointed out that the government had no funds whatever from which to make this drawback and that when changes are made in fiscal matters rebates are not given-then when customs duties are reduced on merchandise on which the merchant has paid duty, while his competitor's goods are still in transit to the country, no refund of duties on the lower or free scale is ever made, notwithstanding the resulting hardship.
Subtopic: SPECIAL WAR REVENUE ACT, 1915, AMENDMENT