LAND TAX GRIEVANCE.

Dominion, Volume 4, Issue 1189, 26 July 1911, Page 4

LAND TAX GRIEVANCE.

SHARP PASSAGES AVITH AUSTRALIAN PREMIER. MR. FISHER INDIGNANT, A deputation from tho London Chamber of Commerce waited recently upon Mr. Andrew Fisher, the Australian Commonwealth Premier, at the Hotel Cecil, London,, to lay before him the objections entertained in London iinnnci.il quarters to the' Australian land tax. The proceedings were unusually animated, and before tho close became quite, painful.

'DEPUTATION'S COMPLAINTS. Mr. Stanley. Machin, chairman of the Council of the London Chamber, introduced the, deputation, idiich, ho said, was representative of tho members interested in Australia generally. Undoubtedly the land tax in Australia was viewed in this country with the very gravest doubt and misgiving. None appreciated more than they did the Imperial instinct of tho Australian Ministry, but they desired to lay boforu the Premier of tho Commonwealth the views they held that tho land tax in its present form was inimical to the interests of those who were willing to lend financial help to Australia to develop her resources, and also to the interests of the colony generally. (Applause.) Mr. F. Faithfull Begs, treasurer of tho Chamber, stud the investor in this country usually sought the advice of the expert as to tho way in which ho should invest his money, and ho considered the risk and the rate of interest obtainable, and balanced tho one against the other. As'- a financial adviser, he certainly was of opinion that the Land Tax Act liad made it more difficult for Australia to obtain money for her development. He pointed out that Canada had always sought the assistance of tho capitalist in her land development, and had shown the greatest liberality to those who had sought to assist in dealing with the land. Sir.' Andrew Williamson pointed out the defects in the Act, which he mentioned at ■ the meeting of the Australian Estates Company. Mr. Fisher challenged the accuracy of some of the figures mentioned, and Mr. Williamson varied his statement to tho extent that tho general result was to tax the company at .'an average- of over sd. in the pound, instead of 6d., as he had mentioned in the instances given.

DENIALS BY MR. FISHER. }ir. Fisher, in reply, said it was not true that the tax was imposed with the object of striking at'any particular man or body of men belonging to any particular country. It was' imposed for the benefit of'those living in Australia, after the policy involved had been submitted to the country at three general elections, and a large majority had been elected in snpport of the policy. Hβ denied that the tax was intended in any way to be vindictive against anybody. It was introduced for a distinctly' economic purpose, and because there was being concentrated in the towns a vast population, which ought to be spread out more over the country. Mr. Faithfull Berc had said investors had to consider the risk and the yield, and he had no quarrel with that statement, but he asserted that siuee the tax was imposed Australian credit had been higher than'for many years before. It was true that money was a little dearer at tho moment, but that was merely a- temporary circumstance, and was not in any way du* to tlio land tax. Mr. Begg had objected to differentiation, but it was the settled policy of the Government to carry out the idea of graduation. It was demanded by the wholo people when they saw the development of the country being retarded by land being held up for speculative purposes. It was the settled policy of the Labour party, jnd the deputation could expect no fundaTnbrffaT "cliaiige. As"' to" the" incidence" of the tax, Mr. Fisher pointed out that the man who invested his money in Australia and secured interest for it did not contribute to the taxes of the countrythrough the Excise and Customs, and, after all, dut.of fourteen millions raised for tho Commonwealth each year the land taxes were estimated this year to produce only one million, or one-fourteenth. Australians wished capitalists well in their investments, but when investments came into conflict with public interests they would give public .interests the first consideration.

Turning to tho effect, of the tax on land values, Mr. Fisher said land now sold at prices quite as high as, if not higher than, thoso realised beforo the tax was passed, and the policy of the Government was having its effect in encouraging land settlement. It was truo that town property was taxed as part of tho aggregate, .but that was part of the policy of closer settlement of the land in the country districts." Mr. Fisher expressed strong resentment against tho attacks which had been made on the Government by capitalists in this country and against tlio hard words which had been said. He declared with some vehemence that the Government, wero not confiscating the property of others, and that the judges of Australia were as fair and as high-principled as those of this country. HEATED SCENES. : Several of tha speakers denied that they had accused the Judges of unfairness or the Government of confiscation, but raH they hod objected to being compelled to prove their innocence of a chargo of undervaluation of the land in their poss?ssion. Mr. Williamson demanded the withdrawal of the chargo made by Mr. Fisher against.him on that account.

.Mr. Fisher said that it was not true that- there were more strikes now than there had been in the past. On the contrary, thero were fewer. There was no country to which a man could emigrate which could ho in any way superior to the ' Commonwealth.* Another ■ painful scene took place lure, and Mr. Fisher declared that he much resented the.offensive attack which had been made upon the Government. Finally, after the speakers on both sides had cooled down, Mr. Fisher said he would take care that the views of the deputation were fully presented to his colleagues, and if there wero any anomalies found he would endeavour, to have them put right. Another report says Mr. Fisher, replying to Mr. Williamson, asked: Could anything be more offensive than to* charge his Government with class legislation? Mr. Williamson did not know what he was talking about. Later on Mr. Fisher and Mr. Williamson shook hands. ■•