LAND AND INCOME TAX BILL.

Manawatu Herald, Volume XLV, Issue 2620, 16 August 1923, Page 3

LAND AND INCOME TAX BILL.

OPPOSITION FROM LABOUR MEMBERS.

BILL EVENTUALLY PASSED

Wellington, August 15.

After the telegraph office closed discussion on the first clause of the Land and Income Tax Bill was continued mainly by Labour Party members who reiterated their arguments against the concession in income tax as proposed in clause 78 until 2.45 a.m. when the clause was agreed to. Clauses down to 78 speedily passed. The real contest commenced when the committee reached sub-clause C of clause 78, exempting from income tax income derived by any owner of land in respect to profits derived from the direct use or cultivation thereof. Mr McCombs moved to limit the exemption to persons having a total accessible income not exceeding £750, contending this would cut out 1,600 large land owners who did not need exemption. Mr Massey contended this was treating the large land owners as criminals and would render the bill useless. He had given a pledge when this was imposed as a war measure that he would remove it as soon as the country returned to normal, and he was not going to break that pledge. Mr Holland replied that no Government had a right to make any such pledge, and even if it had the country had not yet returned to normal and would not until the war debts were paid. On a division the amendment was lost by 32 to 31. Mr Veitch moved to make the limit £I,OOO. On a division this was lost by 32 to 30. Mr Atmore'then moved to make the limit £1,500. This also was lost by 32 to 30. Finally a sub-clause was added to the Bill with minor amendments moved by the Government. The remainder of the bill passed unamended and was read a third time and passed. The House rose at 5.16 a.m. till 2,30 p.m. to-day.