BUILDINGS TAX.

Press, Volume LXVII, Issue 20183, 11 March 1931, Page 8

BUILDINGS TAX.

i earthquake relief MEASURES. , FINANCE ARUANGED.

-«MHNM>OO FROM FUNDS. t»MM TZHQRASU) . .WELLINGTON, March 10. In, 4xn interview to-night, the Prim® Minister, the Ht* Hot>. G. W. Ffcrbea, outlined the Government's • proposals for financing the rehabilitation of the earthquake area, IrfsgWfttive atffehofity for the proposals will be sought during the special session of Parliament. < Tbo aum-'of-.-$1,509,000 w$ be *?aSe available for private and local body ■ needs. Of this amount £1,250,000 willbe devoted to giving . assistance by way of grants, or loans to persons or 'firms for the, reconstruction Of 'biiildings *de« • strayed or damaged,, and the remaining £250,000 will be available by way , of. loans to'local authorities for the restoration of essential, services. Tho reserve fund held in London* by, JSpw: Zealand will be utilised ' temporarily. The fund is largely invested in securities of the British government, and : is proposed to to the «« tcht of. £1,500,000. In order to re. , instate the fund,r the Government proposes to levy a surtax of eighteen - pence per cent, on the vajue of/*ll | insurable property in the Dominion. The levy will' be ■ made on all in.I suranco - companies duping business itt the Dominica oil tt»''"basis of insane®- effected, In .respect .of Jhyse who carry their 1 own, riakg, provision 'wilt be -made for, "the of tho on the insurable value of the: property.. Local authorities will be exempt frofii principal and-interest payments for tlje :first nve yearp, aftor / which- the loan will be repayable a period of 30 years at 4 .per cent/ : 'lt is' proposed, tliat th«r proceeds of the surtax be iised in the first plaoe: for recouping; the revenue lost through tjiie salo« ot'. £1,500,000 .of- investments, and ,in the second place to reinstating the reserve fund. . , The Prima' eaid it was recognised that the amount possible to provide now : was insufficient for" full restoration., Tlw\-Government would have to make" jfrovision for additional finance in ooanexiou with the ejycthin next year's ordinary loan pro-' grammo now being proposed. A committee is to', be set up to investigate the applications for assistance unci tho final deoiaton will rest with the Minister for Finance. ..The, aim will be to assist those unable';to help theniselvus. To aid everybody up to' one hundred per cent, loss, is beyond ihe resources qf tho Government. Advances will be n -first charge orr all property. It is intended to make tha surtax a porn)a nent charge in order to buiVl up a fund for use, in any future national" dtsa-ster. Tft« proposes, said Mr Forbee, to appoint adjustment.' to prevent any* person from - steps to foreclose ,on any pend- . ing full enquiry by the " '-flak. mil