New Zealand Times. (PUBLISHED DAILY.) FRIDAY, AUGUST 13.

New Zealand Times, Volume XXX, Issue 4493, 13 August 1875, Page 2

New Zealand Times. (PUBLISHED DAILY.) FRIDAY, AUGUST 13.

The House of Representatives got through a great deal of quiet and necessary business yesterday, notwithstanding the waste of a couple of hours in the afternoon sitting, discussing a motion by Mr. Murray, on the subject of the Tariff. We think this motion was altogether inopportune, and involved besides, a vicious principle of finance. The motion was as follows : That as the change in the mode of taxation from measurement to ad valorem duties has resulted in a very large increase to the revenue; that as the Government, when proposing the change, stated that an increase of revenue was neither intended nor required ; therefore, unless the increasing necessities of the Government require this increased taxation, this House is of opinion that the duties now levied upon unrefined sugar and other articles of common necessity should be reduced.

Now, it is quite true that the Colonial Treasurer, in 1873, when introducing the new Tariff, said that the revenue did not need any increase, and that the intention of the Government was to equalise taxation ; it is equally true that a very considerable increase has taken place in the Customs duties under the revised Tariff, and that the Government have not proposed any reduction. But the circumstances of the colony are not now identical with its circumstances in 1873. It has added very considerably to its public debt; and for purposes of finance, the Colonial Treasurer must regard the Consolidated Revenue as fully pledged to the public creditor, and by specific appropriations under Acts of the Assembly. To expect him, therefore, to consent to a motion of this kind offhand, is to suppose him utterly incapable, and ignorant of the financial condition of the colony. Major Atkinson did not agree to the motion, and he gave reasons for refusing which were entirely satisfactory. Indeed, we can see no good whatever in crude and immature proposals of this kind. They lead to a flood of talk, by no means edifying, resulting in nothing practical, and having no immediate effect beyond that of wasting the public time which might be much better employed. But Mr. Murray had in view a pet hobby of his own, and one which men of greater mark in the Legislature have already ridden to the great detriment of the country. He would create a system of differential duties for the purpose of encouraging capitalists to establish sugar refineries. As the Colonial Treasurer pointed out, the colony has already had to pay a large sum to buy out vested interests created under a system of differential duties in favor of colonial distillers. Do not let us make the same mistake again. If it is likely to pay capitalists to establish a sagar refinery in New Zealand, men will be found to embark in the business; and if it will not pay to do so without State aid, it is clearly unfair to tax consumers, that is, the mass of the people, to enrich a few persons engaged in a mercantile speculation. Mr. Murray has the " Colonial Industry" craze on the brain. It breaks out in a new form every session. This year it is sugar refining which he advocates, but as another member (Mr. T. L. Shepherd, we think,) remarked, we never heard any one complaining of the high price of sugar. The proper course to adopt is to reduce the duty on sugar of every class if it i 3 too high, and not make an exception in favor of unrefined sugar to induce men to establish refining works, thereby laying the foundation of a claim for compensation at some future time should the necessities of the Treasury require an alteration of the sugar duties. On the broad question of policy, we hold | that taxes should be levied for revenue purposes. Bonuses are bad ; differential duties are worse. In the one case, the extent to which the public purse supplements private expenditure is known ; in the other, it is unknown. New Zealand cannot any longer afford to experiment with money extracted from the pockets of the people; and private members should refrain from putting unpractical motions, like that by Mr. Murray, on the order paper. An opportunity will no doubt be given to members, in the debate on the Budget, to discuss the financial position of the colony. We trust the occasion will be taken advantage of ; but till then, and in any other form during the session, from anything we can see at present, it is a simple waste of time to discuss the fiscal policy of the country in a fragmentary manner.