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New Zealand Times, Volume XXXIII, Issue 5475, 14 October 1878, Page 2

Thb laud tax proposed to be lavied in New Zealand has met with much adverse comment. Our sister colony, Tasmania, has just had a similar proposition brought before it on the 25th of last month. The measure was explained by Mr. Giblin, the Treasurer of tho colony, as a proposal of the Ministry to increase the taxation, not by an income tax, but “ by direct taxation onjland and realised wealth in the form of personal property in some of its modes of investment. This they propose to do m three ways ;—lst. By a tax of Is, in the £ upon the annual value of all landed property in the colony, such value to be ascertained by assessment ; and we may add the tax is not to be on acreage as in Victoria, nor on the capital value as in New Zealand. Property up to the value of £ls, it the owner does not hold other properties whose united value exceeds that sum, is to be exempt. 2nd. By a tax of Is. In the £ on annual income derived from dividends in joint stock companiesand trading corporations carrying on business in Tasmania 3rd. By a tax of Is. in the £ upon the annual income derived by way of interest upon mortgages of real and personal property in Tasmania, to be paid by the recipients of the interest. Tho tax upon landed property is to be levied on the basis of the valuation made by tho Government Commissioners as tho same may be readjusted, and Mr. Giblin made some startling comparisons, which, if not warranting tho conviction that tho rural municipalities have been preparing for such a tax, show at any rate how unequal would a tax be if levied on the existing valuation by snchhodies.” This is a very much more sweeping sort _of land tax than the one that has found favor in the eyes of our Now Zealand Colonial Treasurer; the exemption is very low, and no valuation of improvements is Imperative because only thej annual value has to be ascertained. The impossibilities socalled of taxing the recipients of the interest on mortgages is here attempted, and the proposal seems to have met with a favorable reception. The Tasmanian Mail, to which we are indebted for the above information, goes on to say, in speaking of the total value of real property in Tasmania, that “ the ordinary valuation rolls of the colony give for 1877 a total annual value of £636,391. That of the Government Commissioners is £725,65*1. The latter sum Mr. Giblin was convinced would be found under, and not over, the value ; but he had accepted it for the purposes of calculation. The Treasurer’s proposal seemed to he rather a surprise to a portion of the House,-hut to be well received by the majority, though some comment was made on the absence of any statement as to public works. The House, after hearing tho Treasurer, went into a Committee of Supply, when a formal vote was taken, and the discussion adjourned. The speech will be read with satisfaction throughout the colony.” •Dr. Grace admitted iu the Council on Friday night that some land tax must be imposed in. deference to the public opinion that has been plainly expressed, viz., that tho laud should hear its fair share of taxation. He, iu common with many others, deprecated the exemptions proposed, and wo think that many of those who read Mr. Glhlio’s proposals will incline to the belief that our present Colonial Treasurer would have met with far more hearty support if he had brought down a similar set of proposals. Of late years Tasmania has been littlo hoard of, as her progress has been very slight, but her financial difficulties may have taught her statesmen wisdom hj experience, and New Zealand may yet live to take a lesson in financial legislation from her elder sister.