Mr Ballance’s Address.

Patea Mail, 14 May 1881, Page 3

Mr Ballance’s Address.

Hr John Ballauce, M.H.R., addressed the electors at Wanganui on Wednesday evening, the Princess’s Theatre being crowded. He reviewed political events since 1872, when he entered public life as a candidate for Egmont district but retired in favor of Major Atkinson. He began as an abolitionist of provinces, and held the same opinion now. Parties had changed, but Mr Ballande remained true to Liberal principles.

major atkixson’s finance,

Mr Ballance said the battle of the next election had commenced with Major Atkinson’s speech at Patea. As to the alleged deficit, there was no deficit while the Grey Government was in office, but it arose during the first year of the present Government’s term in office. The Grey Government did not rely on the land fund, as alleged, for they got scarcely £90,000 from it. That was the sura he mentioned in the House and challenged Major Atkinson to dispute the amount, which he never did.

PROPERTY AND INCOME TAX. The main effortof Major Atkinson’s speech was to defend the Property Tax, which was being assailed by the whole of the Opposition, a strong compact body, and also by Mr Ormond, an influential member on the Government side. That tax was a failure. It had been estimated in 1879 to produce £470,000, but only £260,000 had been received. It the difference arose from exemptions, then they were not fair, but were open to the same reproach as has been made against the Land Tax, but if not then the tax was a failure. The Land Tax at £d in the £ had realised £IOO,OOO, exactly the estimate he had made. Now, the Property Tax at Id, covering a much wider area, and supposed to cover everything—but it did not, as shipping was exempted—only realised £260,000. Why the Land Tax at one penny would nearly have brought the same amount. Major Atkinson now denounces the Income Tax, but in 1878 he was an advocate of a Property and an Income Tax combined, and it was remarkable to notice how, in his speeches in 1878 and 1881, he answered himself. In the first speech an income tax was advocated, in the second it was de* nounced. No one on the Liberal side of the House had ever proposed that the farmers should pay an Income Tax in addition to the Land Tax. The leading members of the Liberal party were in favour of dealing lightly with the farmers who were industrious and improved their farms, because they recognised them as the backbone of the colony, and therefore they argued that the Land Tax, exempting improvements, was sufficient for the farmer to pay, while trades and professions should contribute their share by an Income Tax. Mr Ormond in his speech said the Property Tax would be the test question at the next election and he (Mr B) quite agreed with him. PUBLIC WORKS AND LOAN. This was a subject attracting considerable attention. Major Atkinson last session said they would have to borrow again to complete the main lines, but recently he stated that borrowing must cease. It was right they should know the position of affairs. The 5-million Joan will soon be exhausted, and works must stop. Ho did not consider the proposal that the lines should be leased or sold either practicable or # wiee, but still it was a fact that the main lines of railway would never be reproductive until they were completed and all gaps filled up, such as between Waverley and Patea. He would divide the railways into two classses, the first being main trunk lines, and the second lines like that proposed between Wellington and Foxton, and from Christchurch to the West Coast. This last class might be constructed by companies on the land grant system, that is by giving alternate blocks of land along the route, with proper settlement clauses. The main lines, however, must be retained by the Government, and if needs be more money must be borrowed to complete them. But in respect to borrowing they ought to apply the test of revenue. Last year the revenue was £15,000 in excess of the year before ; that represented a borrowing power of £300,000, and he thought it a perfectly safe aud sound

For continuation of speech see next page.