Page Two
THE FISHERMAN
Friday, July 18, 1946
CO-OP FISH NOTES
By K. WUL.FF Manager, Fresh Fish Section, United Fishermen's Co-op
FRASER BIVEB
For the sockeye season we hope to give good service to the fishermen.
We will have a pick-up boat at the North Arm, one at the mouth of 'the Main River and five or six up river. All of these boats will be flying a red flag and will also have Co-op signs on them.
For out of town members we will have net racks and Blue-stone tubs just opposite the Great West Cannery at Steveston.
To avoid too much cash on the collectors and pick up boats we have fish books this year. Whenever you don't need the cash, use the fish books instead. You can then get your down payment every week, if you wish. FISH SALES
This year we have taken on a new venture in the selling of our fish.
We are now selling quite a lot of fish to the retail trade both fresh and smoked. At present we have one truck delivering fish up the Fraser and one delivering to the Vancouver trade. So in a matter of time we hope to be able to sen a large portion of our fish through these channels.
Renold Coventry Closes For Summer
Commencing Saturday, June 29, and lasting to Saturday, August 31, inclusive, offices and warehouses of Renold-Coventry Ltd. at Vancouver, Montreal and Toronto will be closed.
Excerpts From llsley Speech Give Budget Tax Policy
Methods and extent of cooperative taxation as proposed by Finance Minister J. L. llsley are still being debated by Co-op officials here and in other parts of Canada. Request for clarification on several points have been forwarded to Ottawa by the B.C. Cooperative Union. Until the whole policy is made clear it will be difficult to present an authoritative analysis of the proposals.
Following are presented, however, excerpts directly from Finance Minister llsley's speech which should prove of interest to those following the co-op movement, recommended
OLD-TIME DANCING
to Alf. Carlson's Orchestra EVERY MON., WED. & SAT.
Hastings Auditorium
Moderate Rental Rates 828 E. Hastings Vancouver
"The commission in effect that cooperatives be placed in a position of tax equality with other forms of business enterprise. This principle is sound but it is by no means easy to apply. What is the taxable income of a cooperative? There may be some cooperatives which so conduct their affairs as to have no taxable income within the meaning of the Income War Tax Act. There may be others which so conduct their affairs as to have a very limited income within the meaning of the Act. There are, moreover, a variety of payments in proportion to patronage, which for want of a better term I shall call patronage dividends, the status of which is by no means clear. Let me quote a passage from the report of the McDougall commission:
"'. . . the (cooperative) association is, to some extent, obligated to make return to the members in proportion to patronage. These returns resemble in part an ordinary price rebate or discount. However, their amount is affected by the efficiency of management of the association and a variety of unpredictable circumstances beyond its control. It may be affected also by revenue from investments of the association in' bonds or other securities. It may be influnceed as well by the policy the association follows with respect to engaging in business with non-members and granting patronage returns to the latter. On the other hand, if satisfactory returns of this kind are not made, it is probable that the membership and the business of the association will decrease. Functionally, then, the so-called patronage dividends may partake of the nature of a return of profits to the members, or a return of excess charges, or a return of investments, or an expense of the association.'
"While it will be seen that the commission recognized the com-
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plex and ambiguous character of these so-called patronage dividends, it took the general position that such of these payments as are made readily available to the members or customers should be considered income of the members or customers and not of the cooperative association. Tb avoid discrimination it advised that a similar attitude be taken towards patronage dividends distributed by ordinary companies, partnerships or individual business enterprises.
"These simple rules for the tax treatment of patronage dividends would appear to offer the basis of a reasonable solution for an extremely vexatious problem. It will be observed, however, that they involve a departure from one of the cardinal principles of our tax system, for they recognize "as a deductible -item a distribution which represents in some cases and to some extent at least, as the commission pointed out, a distribution of trading profits. In other words, if all distributions in proportion to patronage are wholly freed from tax, a cooperative association or an ordinary company could reduce the taxes it might otherwise have to pay by distributing its income in one form rather than another, for example, in the form wholly of patronage dividends which would be non-taxable rather than in the form partly of patronage dividends and partly of dividends on share capital which are taxable. The trading cooperative which recognized an obligation to pay interest or dividends on its capital prior to the distribution of patronage dividends would under such conditions pay a greater proportionate tax on its income than the trading cooperative which did not recognize such an obligation. It will be agreed that a tax law having such a discriminatory effect and which could be used to reduce taxes that would otherwise be payable under our law is to be avoided if at all possible.
"One possible alternative would be to dispense with any special legislation with regard to these so-called patronage dividends, relying on appeals to the courts to establish the status of the payments under the general tax laws.
FISHERMEN!
| "Effective July 1, Our Store I ; Hours will be as follows: Mon- i | day, Wednesday, Thursday, | | Friday and Saturday, open I | from 8:30 a.m. to 5 p.m.; Sun- r I day, open 9 a.m. to 1 p.m.; i j closed all day Tuesday and | 5 Statutory Holidays.
| Sointula Co-operative i -Store Association
SOINTULA, B.C.
Imperial Oil §
General Merchandise
Agents
If IMMII III >•(MiltMIMJll ■ III litH Mil lllltlltlltMil liltII HI III Mf ||
STYLES VALUES QUALITY
Always at the Home of UNION MADE Clothing — and Friendly Service. •
Established for Over 40 Years
Phone PAc 3645 45 E. Hastings Vancouver
But this might mean prolonged litigation during which cooperatives and other companies would be in a very unhappy position and it is doubtful whether in the end any 'principles of wide and ready application would be established by the courts.
"After careful consideration, the government has, therefore, —Continued on Page 8
Rupert Co-op Handles Record
Amount Of Halibut This Year J
Record shipments of halibut, totalling over four jt
million pounds went through the Prince Rupert Fish- j ermen's Co-op during the 1946 season.
This amounts to approximately half of landings J
by Canadian vessels in Prince Rupert, with fish going j|
through the new cold storage. More halibut is still §j
being handled through the co-op from area 3 vessels. ■
The fine performance of the recently completed |
freezing plant made it possible to process two and 1
one-half million pounds in forty days. Seventy-five J
cars of fresh and sixteen of frozen halibut had been J
shipped by June 21. These cars average 22,000 lbs. J
On June 22 the rce-making plant commenced op- I
erations for the firft time. With a capacity of 30 jj
tons per day, the co-op plant will supply ice for jf
packers and fishing boats during the current (
season and then manufacture for winter storage |
against next season's operations.
........lllllllllllllilllllllltlillllllllll
Credit Union Annual Meet Reports Assets Totalling Over 1 Vz Millions
By BBEEN MELVIN Secretary-Treasurer, B.C. Cooperative Union Powell River Credit Union, number one on the provincial register, was host to the seventh annual convention of the B.C. Credit Union League on June 28-29. One hundred and twenty-two delegates and visitors gathered in the pulp and paper town from centres as widespread as Prince Rupert, Tofino, Dawson Creek, Baldonnel, Fort St. John, Summer land and Victoria.
The statistical report, compiled to the end of last year, and presented to the meeting, indicated 139 societies operating in 1945, an increase of 13 over the previous year. Membership increased to 19,754 and assets to $1,676,-412. Share capital stood at $1,-508,367, of which $1,287,284 was out in loans. Credit Unions in the province have $137,110 invested in Victory Bonds.
Special visitors included Jack Fortnum, Comptroller, CUNA. Mutual Isnsurance Society, Madison; Verne Talcott, Oregon State League; Mr. Robitaille, President, Alberta Credit Union League; and E. K. DeBeck, Inspector of Credit Unions, Victoria.
In presenting their report, the league directors stressed the increased field work done during the period. Veterans' groups were contacted and two branches brought to the point of incorporation. Much time and effort was spent in setting up an extensive blanket bonding plan for local officers. A committee set up by the directorate was active in promoting the study of cooperatives.
The Legislative Committee reported three important amendments to the Act. The first allows member societies to invest more heavily in the League. The second permits raising the limit of unsecured loans from $100 to $300 upon application to the inspector, while the last one extends the annual meeting period, to March 31 Of each year.
Especially active during the year was the growing Supplies Department under Art Copp which showed a business turnover of $1,027.11. An increase in the number of subscribers to the "B.C. Credit Unionist" was reported by Evan Roberts, publications head.
A highlight of the convention
B & G Welders, Ltd.
Welded Tanks & Drums that really last, made to order —
Or What Have You? Mail orders given prompt attention.
303 E. Pender MArine 6856 20 Years Experience
RUPERT BUTCHERS
Meat, Groceries,
Vegetables and Delicatessen
"Lot Ut Cook For You Whilt FiMnf"
Cooked Meats of All Kinds and Fresh Meat Pies Daily
Next to Royal Hotel
Phone 21—707 3rd Ave., West
PRINCE RUPERT, B.C.
COOPERATIVE FISHERMEN
SHARE YOUR RISK
BY INSURING YOUR BOAT IN
PACIFIC COAST FISHERMEN'S MUTUAL MARINE INSURANCE
COMPANY
ONE WEST CORDOTA STREET PHONE PAcific 0135 VANCOUVER, B.C
the Health Insurance Committee report presented by J. R. Hunter. The proposed plan calling for establishment o f the B.C. Co-o p e r a t i ve Health Services Society was en-d o r s e d with minor changes and ordered Breen Melvin ready for operation by October 1 of this year.
Article 3 of the bylaws states that "the objects of the Society shall be to create and administer a fund for the medical, surgical and/or hospital care of its members and their dependents in cases of illness and accidents, on a cooperative and non-profit basis." Membership will be confined to members of credit unions and cooperatives, and their dependents.
A brief, setting out desirable changes in the Credit Union Act, is to be8 presented to the attorney-general at his request. The standing Legislative Committee was instructed to seek additional governmental inspection service in order that the rapidly expanding
movement may be adequately safeguarded.
Delegates gave hearty endorsa-tion to the establishment of savings clubs in the public schools. Principles were outlined upon which such clubs may be operated in conjunction with local credit unions. Credit for pioneering this field goes to Roberts Creek Credit Union which is now waiting to put the plan into operation.
An innovation enthusiastically received was the achievement award for the society displaying the most efficient and progressive operation during the year. Kimberley Credit Union took the plaque for 1946.
In order that the League may service its growing membership completely, the directors, acting on instructions from the convention, have engaged J. W. Burns of Stry Credit Union as managing director. Mr. Burns will co-ordinate and promote the various branches of activity centred in the league office.
Officers chosen for 1946-47 are:
President, A. G. Butcher (reelected), Vancouver Federal Employees; vice-president, R. Williams, Victel; Secretary, F. G. Lucas, Vancouver Firefighters; treasurer, W. D. Mcintosh, Plumbers and Steamfitters.
Fishermen!
FISH AND BUY COOPERATIVELY
Our Camps and Stores on the West Coast of Vancouver Island are ready to serve! *
Kyuquot Trollers Co-operative Association
Head Office: Victoria, B.C. Camps with Stores: Camps Only:
KYUQUOT Tofino Ucluelet Klaskish
BAMFIELD Refuge Cove Winter Harbour
FISHERMEN!
When In Northern B.C. Waters—Use Your Co-op Facilities
• Liver Oil Plant • Fishermen's Credit Union
• First Class Bakery • Fish Cold Storage
• Fish Camps With Stores And Oil Station
• Large General Fishing Supply Store In Prince Rupert
• Fishermen's Settlement Service • Ice Plant
• Agency Pacific Coast Mutual Marine Insurance Co.
Prince Rupert Fishermen's Co-op Ass'n
Phone: Store—760 - 764 Cold Storage Plant—Red 786
Office—763 Engine Room—Blue 786
Navigational Charts, Nautical Instruments, Nautical Almanacs, Course Protractors, Log Books, Tide Tables
STATIONERS and PRINTERS
Clarke & Stuart
CO. LTD.
650 SEYMOUB STBEET
VANCOUVER, B.O.
BUDA
Gasoline - ENGINES - Diesel
Parts and Repair Service
GLIDDEN Marine Paint
SIMSON-MAXWELL LTD.
1931 W. Georgia St. MA. 7829 Vancouver, B.C.
I