LAND AND INCOME TAX BILL.

Gisborne Times, Volume XXV, Issue 2212, 16 October 1907, Page 3

LAND AND INCOME TAX BILL.

Press Association. WELLINGTON. Oct. 15. 11l tlie Legislative Council yesterday Mr. Macdonald resumed the debate on the second reading of the Lands and Income Tax Bill.. t He said the whole tendency in recent years was to cut up properties and to accept low deposits of from 5 to 15 per cent. If the value of properties had been duly stated in the past there would have been no need for a heavy graduated tax to-day. The Valuation Department has not been true to its responsibility in connection with valuing." Ho ventured to say that there was not one largo estato which would not bring 25 to 50 per cent more than the value stated in the books of the Department. Ho could go through Wellington city and raise the value a quarter of a million There were thousands of cases in this country wliero jnen could get 25 to 50 per cent more than they were valu ed at on their properties, and that or the basis of what would be practically a cash transaction.

Mr. Gillian hoped that the Government of the day would ta'ko no notice of the statement made by the last speaker as regarded valuations (Hear, hear.) On the whole the danger of the Bill was that purchasers of private land thrown open for selection by virtue of the operation oi the measure would have to pay toe high a price, a much higher price perhaps than if the land had beer resumejd by the Government under the Laud for Settlements Act. Mr. Kelly pointed out that the discussion need not necessarily be wasted, as amendments to the Bill could bo introduced by Governor’s message. Ho predicted -that the principle of graduated taxation would eventually be applied to city lands. Mr. Luke differed from Mr. Macdonald in regard to valuations. As a matter of fact property was valued up to the highest point, 'and the danger was that the high figures could not bo realised in case of a crisis. Tho Attorney-General, in reply, said it would have been unfair to have taxed business premises in the cities, because the Bill was a measure to induce settlement. He justified section 16. Keferring to last year’s Bill he said he went through the measure with the law draughtsman to see if it could be made a. workable measure. Only those who had been carefully through the Bill in detail and those who bad carefully studied its technicalities could appreciate the fact that it would have created separate difficulties. After tlio best attention had been, given to it, ho said, ho was not breaking faith in saying it would have been impossible to have had it made a workable measure. It was better to orr on tlio side of fairness and moderation than to do anything which would savor of confiscation. , , The Bill was then read a second time, and the Council rose at 4.55 p.m.