THE FARMER AND BUDGET PROPOSALS.

Manawatu Herald, Volume L, Issue 3979, 3 August 1929, Page 2

THE FARMER AND BUDGET PROPOSALS.

During a brief discussion on the Budget in the House on Thursday night, Mr. Holland asked how much do you expect to get from the increase in direct taxation? The Prime Minister: AYe have no direct taxation. ' You mean the land tax, I do not know. It is a very difficult matter to estimate. A Reform member: It will he for the fanner. The Prime Minister said the taxation proposed (did not touch the oi'dina|ry fanner at all. A Reform member: That is not so. The Prime Minister: AATiat is the use of the hon. member telling me that? I have been cheeking over the figures for weeks. There are forty thousand people in this country ; who do not come under taxation ( at all. It is only the large landowner who is going to he touched and he has been escaping in the past. Mr. D. Jones (Mid-Canterbury): The £SOOO man is going to kill it. The Prime Minister: It is not going to touch him at all. 'The large landowner has been escaping unfairly, ever since a short time after the war. It was done ivith a view to extracting a fair amount from the large landholder. Mr. Jones: And lea.ving the big city man free.

The Prime Minister: The big city man pays land and income-tax as well. (United hear hears).. Mr. J. A. Nash (Palmiefrston N.): It will drive a good feAV men out of the country. The Prime Minister: We Avant the money. He said he hoped soon to have the whole of the information. Farmers had not (been returning in-come-tax for some .veal’s. It was difficult to get a careful (approximate estimate. As soon as he obtained the information he would be only too glad to give it to the House. ; Mr. D. Jones (Mid-Canterbury) said 1 ' he was convinced that the policy of the Government Avas to raid the farmer. He was amazed that Mr. Poison, AA'ho Avas president of the Fanners’ Union, agreed to putting £IOO,OOO on to the cities and £BOO,OOO on to the farmers. Mr. Poison: I did not say anything of the sort. Mr. Jones: No other meaning can be taken out of your words. A United member: A grave misrepresentation ! Mr. Jones said that the Prime Minister’s proposals Avere most amazing. “I never heard such a piece of misrepresentation,” said the Prime Minister in replying to Mr. Jones. “He says that it is proposed to make the farmers carry £BOO,OO0 — __ » • Mr. Jones: Yes. The Prime Minister: I pointed out that a farmer will not have to make, up an income tax return if his property is valued at £12,500, unimproved value. A Reform member: Land tax? The Prime Minister: No. I am referring to income tax. (Reform laughter).