VALUATION OF LAND

Gisborne Herald, Volume LXVI, Issue 20115, 8 December 1939, Page 12

VALUATION OF LAND

ASSESSMENT POLICY PRODUCTIVITY QUESTION An important pronouncement in regard to land valuation methods was made in Palmerston North by Mr. A. A. McLachlan, president of the Assessment Court hearing objections lodged against Government valuations in the Manawatu County. After pointing out that the court had now isat in every district in New Zealand, Mr. McLachlan said it appeared advisable to give an epitome of the court’s policy. “To suggest that the Act makes sale prices the best, in fact the only criterion of value, without the necessity to apply strict tests is going too far,” said Mr. McLachlan. “It is absurd to read anything into the Act which excludes consideration of the productive value. All scientific valuations must conform more and more to the tes.t of productivity or net annual rental or revenue. “Especially with land, our most valuable asset, and at a time when we are endeavouring to secure the farmers in their holdings and avoid another plethora of adjustment applications is not uniformity of method of valuing more important than uniformity of values?” How could any uniform system be evolved, Mr. McLachlan asked, which was fair to all and at the same time conform to the important canon of ability to pay taxes, if such a system excluded productivity as one at least of the important elements in scientific valuation?