TRADERS’ COMPLAINT

Hokitika Guardian, 16 October 1931, Page 2

TRADERS’ COMPLAINT

ABOVE PUBLIC ENTERPRISES. <By Telegraph — l‘er Presa A ssociation ) WELLINGTON, October 15. The position in which the private trader is placed because of the nontaxation of the Government and Municipal trading concerns was brought to the notice of the Prime Minister and the Minister of Finance this evening, by a deputation from the •Gas Companies' Association, The Associated Chamber of Commerce, and the New Zealand Employers’ Federation, The speakers claimed that there was no reason for the present differential treatment, and that such conditions were illogical, and unfair. .Mr Forbes promised to consider the representations with his colleague Mr Stewart. The Prime Minister said that the difficulty of taxing the municipal and electric light undertakings, was that the Government had undertaken a policy of hydro electric installation, and that when it reached tlie point of cle livery in bulk, it came to the conclusion that it was not able to carry out reticulation, and Power Boards were set up to do the work. To get at the profits of a concern like a Power Board, was a pretty elusive matter. It tvas felt that, if taxation were imposed, there would be no profits, and that the prices would be made lower. He would admit that,' with the heavy increases of taxation on industry, the position as between the private concerns and the municipal and Government concern., became more accentuated. It was not the' policy of the Government to 0„tend the field of municipal and state enterprises. At the present time, the Government was leaning very much on the local bodies in respect to the relief of unemployed, if it was not the most opportune time to impose taxation on them. Although there was a good deal of justice- in what the deputation had said, he thought the members would admit that the position was a very difficult one to alter.