LAND TAX BILL.

Gisborne Times, Volume XXV, Issue 2202, 4 October 1907, Page 1

LAND TAX BILL.

FINALLY PASSED BY THE HOUSE Press Association. AVELLINGTON, Oct. 3. In the House of Representatives after midnight on AVednesday discussion on the Lund and Income Tax Assessment Bill was continued. Tlio Premier said the alterations that had been mado to tlie Bill had improved the conditions, particularly in regard to coal mine proprietors, in that it reduced their taxation. Referring to flux, he said lie was quite prepared to look into the matter and have it worked out to see how the matter stands. It was not possible to do as the Leader of the Opposition suggested—to exempt flax altogether from income tax. To do so they would have to exempt timber and coal also. If Air. Alassey’s suggestion to exempt mortgages was acceded to it would bo impossible to collect the graduated tax, ns every landowner would get a mortgage on liis land to avoid the tax, and would invest ]iis money in some other direc-

tion. Tlie tax had been instituted to meet the demands of the people of the country, and it was intended to lead to the voluntary cutting up of large estates. The Premier strongly dofended clause 10 (the 15 per cent clause) with its proviso, under which, ho said, a man might only pay a half per cent, or, indeed, nothing’ at all, provided the .Commissioner of Taxes was satisfied that the sale was bona fide. Ho refuted the statement that double taxation avas imposed under the Bill. He added that legislation for business bonuses avas to come under the Bill iu toaa'u and country. Further, if business premises avere taxed there avere only 19 businesses in the colony avhicli avoaild be taxed under the provisions of the Bill. He pointed out that there aa'ere 18 months in avhicli a landowner could divide his land and so get out of paying tlio tax.

Air Massey rose to a personal explanation. Ho considered green flax should be exempt from income in tlio same manner as a crop of wheat. The Premier_ said a man avlio received a large income from groaadng flax had no right to exemption any more than timber lands.

On dii'ision, the third reading li'as agreed to by 58 to 2, and the Bill avas jiassed. The House adjourned at 0.35 a.m.