WELLINGTON TOPICS.

Hokitika Guardian, 19 December 1921, Page 4

WELLINGTON TOPICS.

THE FINANCE BILL. A MEASURE OF EXPEDIENCY. I SPECIAL TO GUARDIAN. WELLINGTON, Dee. 11l Though the Finance Bill, which received its second reading iff the House ol Representatives early tins morning, is Dot the “liiVaneia'l sham” and “piece of political hypocrisy” tho leader 61 the Opposition described it to be, it certainly must be numbered among the least impressive expedients to which Ministers of Finance in times ol stress have been driven ill this country. In order to redecTlV, or particularly redeem, his promi-c tb grant suite reduction in tile ihcotne. tax, Mr Massey was compelled to dredge in twice dredged waters to find the additional revenue required to cover the amount <*i the concession. 11 is clticl hauls were represented by tin increase in the amusement tax and the totalhatoi and stake taxes, by which, with a few pounds gathered up from other sources, be proposed to make a concession of 5 per cent for the prompt payment of income tax'. The new taxation is estimated lo produce C IOH.OtK) a year and the concession to cost C**’o.l.ooo a year, e, d everything works out as expected, toe Treasury will be L*H'O.tHni a year bctVr off hv the move. hard m>'*- r M*:n.

Mr Massey did not pretend that bis proposals were entirely salistacLoty *o himself. He would have hl.v ! !*> *b> much more, lie admitted, but he had done all the circumstances would all *•*. The most urgent need-, however, wen* reductions ili land tax and immee tax. 'Hie prosperity of the country was lining gruvelv a dec led bv t c *ci‘* id' -’ charges made necessary by the pass-

ing requirements ol the House. Companies and individuals were being compelled to pay more, than Hey enuai a (lord to pay and business was being hampered and disorganised in enn.oquenco. With all this the House. t.i..< tlie exception of the cxliemc l.abimr section, readily agreed and wen son..* of tho Minister’s friends expressed surprise that he proposed no none ikon a reduction of 5 per cent iqr promp: |bi\incut of income lax. Ibis with toe similar concession in regaid In I ' -in tax will make a total rodurHmi "* L* 150,1)1)11. .Mr Holland and Id- followers announced promptly that - t o'* would exhaust every l**no of the !Uuc in opposition to I lie r.’dm lien in the income tax, and Mr Holland himself made a demonstration in this diiectmn last night, but tin* forms of tin* House in these days do no: provid * tceililics for inrloliiiiii* obstruction hv ■* -imd'd

of members and it i- quile pro 'able member loi Bull'' will return iiom >. holidays in a less * i■’ 1 i ■ iramc *

AMUSEMENT AND SI’ORT

Main jnoinbef.s of the l!ou-.e are inclined to think that the I’l urn* Mm ter is placing too heavy burdens upon amusement and sport ami that the effect of the new taxation may go a long way towards killing the two gee-*? that have been laying goldy i eggs I-*: :Pc Treasury (luting the hist two oi three years. Mr Ma-sey has Lsie.ieto warnings in this respect .-o !:*:* a tlr amusement tax is concerned, am. may remove the additional impost Imm lower indeed seats; but lie is disinclined to give any relief to i ! 'o broad back ol racing. Members of racing clubs among his friends, lie said last night, had told him that, realising be must have the money, they would put up with the new demands. But tin* new demands are going to affect horse owners and race-goers even more intimately than they will affect members of racing clubs', and they, after all, are (lie people upon whom the prosperity of the sport and its ability to keep on contributing large sums to the public revenue chiefly depend. ECONOMIES. The debate on the second reading n* llie ice Bill covered a good deal of ground, hot the I’rime Minister was the only speaker that gave any scrum-, attention to the question oi l' tien. '- mont, and even l-is reference to lm* subject was a little unsatisfying. He realised, he said, that the task of reducing expenditure and getting t*e lit,mice* of the Dominion on to a sound footing again was a very big one. But progress was being made, although t u* results of the Government’s Ml'oits would not become apparent all at once. Many people were being retired !.m i the public service, hut most, of them were entitled to some period of leave on pay, so that the saving could not begin immediately. A very great deal of retrenchment bad been done and very much more remained to be done. All ibis, of course, is lamiliar talk, but so far it lias lteen followed by no very tangible performances. The plain

truth is that Mr Massey is receiving very little assistance in his economy campaign from either side oi the House and must sometimes doubt if even the outside public is sincere in its reiterated demand for Hu* reduction of expenditure. .. .. . ,■