The Evening Star WEDNESDAY, NOVEMBER 8, 1871

Evening Star, Volume IX, Issue 2723, 8 November 1871, Page 2

The Evening Star WEDNESDAY, NOVEMBER 8, 1871

The present session of Parliament has had several difficult questions to solve, not the least perplexing of which has been the means of bringing up the

revenue of the Colony to the expend' tare. Two plans for this purpose have been adopted : ono an addition to the tariff of duties on imports, and the other an addition to the stamp duties. It is not creditable to the intelligence of the community, that ol the two the indirect and expensive one, so far from exciting discontent, is regarded with satisfaction ; while the direct and cheap ono is regarded as oppressive. Weie it not that this has always been the case everywhere in the British dominions, it might be considered strange, In fact, it is odd that an ascertainable amount of taxation is always grumbler

at, while that which is concealed, though one thousand times heavier, is not even thought about. Modes of taxation remind one of methods adopted to induce children to take physic . wrap it up in sweets, and the nastiness is not perceived. People are content, even if the price of bread is raised, because the coating to the pill is called protection. It draws more money out of their pockets in a week than the stamp duties in most cases on receipts in a twelvemonth, with

the disadvantage that only a very small fraction of the amount goes into the Treasury ; while in the case _of the stamp duties, with the exception of a trifle for collection, the whole is available. It would be well if it were possible to adopt this direct system of raising a revenue, and that all import duties were remitted. Industry and commerce would then be freed fiom many vexatious trammels, and statesmen relieved from the foi resorting to many ingenious devices. We do not suppose that any system of direct taxation would be acceptable to the masses of the community. Even the proposed addition to the duties on receipt stamps is already grumbled at. We have heard men who would not hesitate for a moment to “stand a “nobbier” on receipt of two pounds, openly declare that they considered the duty oppressive, and that they will have no hesitation in evading it. No doubt it would be much more pleasant if all taxation could be avoided, but that is impossible, and there is at least this satisfaction in levying a direct tax, its amount is known, and it is also known that if

it is evaded, it is at a risk immeasurably greater than the saving effected. What man with sound brains in his head would risk losing two pounds or having it to pay over again, or being mulcted in a heavy penalty, for the sake of saving twopence I Yet every day such things do occur. In our Courts of Justice fines are frequently paid to render unstamped documents valid, or money cannot be recovered, because tho paper on which agreements are recorded does not bear the proper stamp. We hold it to be disgraceful to those who offer such pleas that such evasions of justice should occur. No doubt, as was correctly observed by an able practitioner in Court the other day, the Stamp Duties’ Regulations open a door for dishonest shirking of debts: but then he only told half the truth—he should have added, when, through dishonest shirking of the specified stamp duty or through carelessness or ignorance which the slightest perusal of the schedule ot duties might have corrected, a document is insufficiently stamped. But what mode of collection of revenue does not place the honest man at a disadvantage when pitted against a rogue 1 Of all modes ot taxation, the indirect is most profitable to unscrupulous men. Very few persons will be disposed to think that one great cause of the falling off in our customs revenue is evasion of duties. Yet there cannot be a doubt of its truth. Both Islands afford every opportunity for extensive smuggling, and the high duties on most articles are great temptations to it. Notwithstanding the vigilant police and revenue force of Great Britain, a duty above ten per cent, on the value of an article is quite sufficient to induce men to run the risk of loss of goods, and imposition of a fine or imprisonment. But in New Zealand on some goods the duty amounts to more than two hundred per cent, on the first cost. There is therefore an invitation given to smuggling, as in addition to the chance of immense profit, there is but small risk of detection—the coast being so extensive that to keep efficient watch around it would absorb a large share of the revenue received. Not only, therefore, Jus the honest merchant and trader to compete with smugglers, but he has to pay duties of other kinds in order to make up for the deficiency of revenue caused by their illicit traffic. On every ground a direct tax is to be preferred.