THOSE PROMISES

Evening Post, Volume CIX, Issue 101, 1 May 1930, Page 14

THOSE PROMISES

A STURDY DEFENCE

THE SUPER LAND TAX

MR. COATES CHALLENGED

(By Tolegraph.) (Special to "The Evening Post.") AUCKLAND, This Day. An assertion that the United Party had kept all its pledges was made by tho Minister of Public Works, the Hon. E. A. Ransor in a speech to tho large audience last evening in support of Mr. W. A. Donald, the party's candidate in the Parnell by-election. The Ministers, the Hon. J. B. Donald and the Hon. G. A. Stallworthy, were present, but did not speak. The candidate addressed the meeting. Speaking of the imposition of the super-land tax on the owners of land exceeding £14,000 in unimproved value, Mr. Eansom said that the measure was fully justified.' The Reform Party had "stonewalled" the Bill in the hope of preventing its friends from being taxed. If any section had made money out of the war, it was the large landholders. The country was still bearing the heavy war burden, and it was only right that these men should bear their full share of it. The electors should be ashamed to be represented in Parliament by any group which would fight against this as the Reform Party had done. The tax was being very fairly administered, and exemptions had been granted after inquiry in cases of hardship due to such causes as large mortgages. However, a number of the landowners affected had been found liable to pay income tax instead of land tax, the former being greater. £94,000 had been collected under this head. One man with land of an unimproved value of '£70,000 had been liable in the ordinary way for £4500 income tax and £1230 land tax. Under the new legislation he' was found to be liable for £1230 super land tax and £2090 excess income tax, a total increase of £3320. Could the Reform Party honestly say that this man; with an income o fabout £20,000 net, had previously been paying a fair share of taxation? , Another man with land of an unimprved value of £37,500 had been liable for £1393 income tax and £420 land tax. He had now been assessed for £420 super land tax and £1090 excess income tax, an increase of £1510. A third case was peculiar. The unimproved value was £19,000, and the owner was liable for £753 income tax but only £13 land tax. The latter had not been increased, but he had to pay £740 excess income tax, an increase of £140. Thus these three cases had produced £5570 more revenue for the country. Was it surprising that some people wanted to see the United Party put out!! "We said that the Act would result in the subdivision of large estates," continued Mr. Ransom. "A good deal of subdividing has been done by owners themselves to get below the £14,000 limit. I would suggest to them that they get to work early, because there may be further amendments still. These," he explained, '."might be for tho purpose of dealing with tho owners of unencumbered properties below the £14,000 limit who were paying remarkably little taxation. The Minister spoke with pride of the fact that 18 months' arrears in the State Advances Office had been completely wiped off. "I admit that in one particular the Primu Minister could not keep right up to the letter of his promise," ho ■ said. "He could not revert to the 4| per cent, rate of interest. It has been said that Sir Joseph Ward had, caused the banks to raise their rates. They raised them before he came into power, then lowered them, and now have raised them again. I can say this, that if the State Advances Office were not lending money at 5J per cent, the workers and farmers would be paying far more than they are. Mr. Coatcs, in addresses to meetings of supporters in various places, had been sniping at tho Government and making sweeping assertions of broken promises, and of unstable and wholly displeasing legislation. He was certain that Mr. Coates would never dare to tell the North Auckland settlers that he wished to repeal the Government's legislation for improving their clay lands. If the Reform Party attempted to base the election campaign on a repeal of the super lane! tax it would not win five seats. He challenged Mr. Coates to state from any platform what items of last session's legislation he would repeal if ho could.