Problems On Land Tax Ironed Out By Rehabilitation Dept.

Bay of Plenty Beacon, Volume 12, Issue 26, 2 March 1948, Page 3

Problems On Land Tax Ironed Out By Rehabilitation Dept.

Comment on reported cases of exservicemen farmers paying more land tax then necessary owing lo their not having' claimed exemptions on accoun:; of mortgages is made in a stater-.er t from the Reha bimation Biard. It is explains! 'chat where an exserviceman has raised a loan, whether from the Rehabilitation Board or from other sources, to acquire a farming property, then the ensuing mor’gage entitles him to a reduced assessment for land tax purposes. The amount of this deduction is the total capital value of all mortgages owing by the taxpayer on the land, provided the mortgages are registered against the title of the land and subject to the following provisions: (1) Where the total unimproved value of the land does not exceed £7500 the maximum deduction is £7500; (2) where the total unimproved value of the land exceeds £7500 the maximum allowed is £7500 less £1 for every £1 by which the value of the land exceeds £7500; (3) where the value or equals £15,000 there is no deduction.

Ex-servicemen farmers are advised to have their returns for land and income tax purposes drawn up by a qualiged accountant or solicitor, and are urged, in their own interests, to furnish these returns, as it is pointed out that if an assessment is made and no objection lodged within one month from the date of the notice, the taxpayer becomes legally liable for the tax assessed. He has no legal grounds to claim a refund and a refund cannot be taken for granted.