Taxation Too High.

Hokitika Guardian, 1 February 1923, Page 1

Taxation Too High.

Taxation has caul* to he so vital a factor in the economic- life- of the Dominion t-’iat it- is not- surprising to find various farmers’ organisations giving the question their serious consideration (says the “Dominion” editorially). The conference which met recently to discuss the views put forward by Mr W r . D. Hunt sat in private. and came to no definite decision beyond referring the matter to the bodies represented at the conference. It will be recalled that while the Taxation Committee, appointed by the Government A*as umuiimons as to the necessity, in the interests of all class's, of reducing taxation, there wee differences of opinion as to changes in the incidence of the existing method of taxation. Tt is obvious however, that if development is to progress as it should and industry flourish changes in the incidence as well as mi til*' existing scale of taxation must take place. Fanner* are especially interested not merely from the point of view of the effects of taxation as it bears directly on them, hut also i s to its indirect influence on the financial .iceoiiiiiudotioii they require and their working costs. The subject cannot he treated from a narrow it personal standpoint if any real good is ■ result from the consideration which the various farmers’ organisations are proposing to give the subject. Wind ba> to lie considered is tbe etfc- t ' I the existing system of taxation in "* bloail aspect its curtailment of tlie ex' ansion of joint-*toek company and

co-operative enterprises: its eri'plin*/ influence on fiunm-inl institutions rnd firms, forcing up the price of money; the handicap it imposes on the extv’nsio*' of industry; and the swelliiig o f wo king costs an 1 price* wt-nernll'-. TluTe is room. <*f eon: -e. for d'ilYrences of opinion as to the best and

soundest means of reversing the outstanding weaknesses of the present method n! raising revenue by taxation, but there can he only one opinion as to the necessity for changes being made.