Stock Values and Taxation

Chronicle (Levin), 3 February 1949, Page 6

Stock Values and Taxation

Furtlier consideration has been giyen by the Minister of Finance (Mr. Nhsh) • to representations made by Federated Farm.ers.concerning the existing system of taxing the vaiue of f arm stock where a sale is eflected in exeess of market values. Although at one time unabie to agree that there was any practicabie alternative to.the present practiee of regarding farm livestoek " as trading stock, the Minister has since arranged for an examination of the English system and provided for discussions to be held betvveen representatives of tlie Federation and tlTe Commissioner of Taxes. Details of the preliminai-y discussions with the Commissioner will be reported to the Pominion Couneil of the Federation at its meeting next week'and indichtions are that an agreement might be reached to alter the present system in such a way as to provide a more equitable basis of taxing increases in the vaiue of stock, sold by a farmer. The Federation has consistentiy agreed that livestoek should be treated, for taxation purposes, either as trading stock or as c'apital . assets and not merely as trading stock a.ecording to the present 'practiee. Bueh an alternative would niaterially -assist the store stock breeder who, in the main, did not trade in stock. Othef alleged anomalies , "on taxation are a'iso under present cliscussion with the Commissioner. Farmers'. Meetings The first quarterly meeting of the various Councils of Federated Farmers for the'Current year will.be held in Wellington next week. On Wednesday, the Meat and Wool Section Couneii and the Dairy Section Couneil will hold their meetings under the chairmanship of Messrs. John Andrew and A. G. Alexander, respeetively. The Agriculture Section Couneil, under the chairmanship of Mr. George Stevenson will hieet that dajr in Christchurch. The full Dominion Couneil of the Federation will meet on Thursdav'and Friday next. The chhir will be taken by Mr. W. N. Perry, Dominion president, vvho will report on his recent visit , to Washington where he attended conferences of the F.A.O. as an oflicial adviser, and also meetings of the execfltive coinmittee of" the International Federation of Agrieultural Producqrs.