THE MORTGAGE TAX.

King Country Chronicle, Volume III, Issue 148, 19 April 1909, Page 5

THE MORTGAGE TAX.

A deputation from the Commercial CongTess which met at Wellington last , week waited upon Sir Joseph Ward in reference to the resolution asking that the mortgage tax be abolished, and in lieu thereof income derived from the investment of capital be made subject to income tax. The Prime Minister said that such alteration I woolJ involve more taxation. If they Understood that he was not indisposed to meet tham. There seems to be grave misapprehension on the part of those advocating this change,. How was it all the great investing companies which came to New Zealand did so when a mortgage tax was in operation at the rate of 33 1-3 per cent, higher than the present one, and carried on without murmur or complaint? Several companies went out of the country* later, but it was not the mortgage tax that caused this It was the Advances to j Settlers Department, which lent money at a lower rate. The graduated land tax was a matter of great importance, but they must remember there were difficulties in improving taxation to meet the country's requirements. The graduated tax and extra tax imposed were to prevent the growth of large estates. He was prepared to look into the application of the tax to what he called f-rdinary business premises, and if injustice was being done it should be possible to remove it. [