CONSCRIPTION OF WEALTH

Dominion, Volume 10, Issue 3090, 22 May 1917, Page 6

CONSCRIPTION OF WEALTH

Sir, —Your correspondent Mr. Bernard Tripp, in hie letter appearing in jour issue of to-day, makes certain proposals by way of meeting the inevitable increase iii taxation that will be required to meet interest on tho heavy 'outlay occasioned by the war.

j Mr. Tripp's methods may be quite clear to himself, but I am not so sure that they will appeal to others as feasible. Let me, for the sake of brevity, take one only of the cases . cited by him. It is proposed, that the married capitalist who is fortunate enough, to possess thirty thousand pounds (.£30,000) should be taxed at the rate of four per cent. (4 per cent.). I will suppose that this capital is invested to yield a net income of I per cent. Therefore, according to Mr. Tripp's scheme, the whole of this income would be absorbed in taxation. Would your correspondent explain how in that' case the individual concerned is to live? Reference is made to Mr. Craigie's views and Mr. Tripp expresses the opinion that that gentleman is on the right track. Mr. Craigie is a politician, and as conscription of wealth is a popular cry in certain quarters, it may be possible to account' for his views, but from those ■who do not come under the influence of the vote we stiould look for something practical. Assuming that New Zealand's share of the colossal war expenditure trill run into, say, the yearly interest on this sum will approximate -£1,000,000, and there are many and varied ways in which this amount could be raised without unduly pressing on any section of the community. Why, therefore, resort to such extraordinary class taxation as is so glibly sketched by your correspondent?— Sam '° tC " ' INQUIRER, .Wellington, May 21.