WELLINGTON NOTES.

Taranaki Daily News, Volume LVII, Issue 308, 7 June 1915, Page 2

WELLINGTON NOTES.

(From Our Own Correspondent). I WAR TAXATION. Wellington, June 2. Tim Prime Minister has caused some astonishment by saying in Auckland, according to a telegraphed report, that there will be no special war taxation this year. "There was really no need at present for anything in the nature of a special war tax," runs the summary of his remarks. "The, prosperity of the Dominion was so great that he certainly did not contemplate the necessity for u. war tax this year. The extra expenditure arising from the war could, ho thought, lid met out of general revenue, or with a slight increase on existing methods of taxation." ' Mr. Massey can scarcely have been speaking by theliook. The war expenditure of the' Dominion amounted to about r £3,000,000 monthly early in the year, and it lias been increased considerably since that time. Probably it amounts to not less than £400,001) monthly at 'present, or at the , rate of nearly £5,000,000 a year. A ! very large portion of this expenditure is met by the war loans, 110 doubt, but'the Minister of Finance has said very plainly that he will want additional revenue during the next financial year, especially us the Customs receipts have suffered owing to the war. The matter was mentioned to the Minister by your correspondent to-day, and Mr. Allen said that the. heavy war expenditure, the falling oil' in revenue, and the demands upt)n the • State in connection with military pensions, tile Belgian Relief Fund, etc., were fat'ts that had to be faced. "There is quite, a reasonable hope for the taxpayer that lie will have a little more to pay," said the Minister with a j smile. He added that the actual proposals of the Government could not be J disclosed until Parliament met and the I necessary financial measures were j brought forward for discussion. Under/ 'preset!t conditions no Minister of Finance could look vei'v far ahead, because , so much depended upon tile duration ot I the war, which no man could foret.dl with certainty. THE PATRIOTIC ORGANISATIONS, Some discussion had arisen with re-

gard to the work of the various patriotic organisations engaged in the collection of funds for wounded soldiers and dependents. The Nelson branch of the Post anil Telegraph Officers' Association has decided to discontinue its contribution to the 'Patriotic Fund and devote the money to the Belgian Belief Fund, on the ground that the Patriotic Fund is merely placing upon the shoulders of the generous t.iu liurden that should be borne by the taxpayers as a body. A well-known Reformer in Christehurch has attacked the Government quite warmly in a letter to the Press for its "pusillanimous attitude in shirking the responsibility of fixing by taxation on a broad national basis the whole cost of our efforts in support of the Umpire." The position certaidy is a trifle -perplexing, and the representatives of the patriotic organisations have shown their realisation of that fact, by asking the Prime .Minister to state definitely what the Government intends to do for the disabled soldiers and the dependents of the fallen. The existing pension scale is utterly inadequate, and there is no guarantee at the present time that tho money subscribed to the patriotic funds will not be used to make up deficiencies in tho provision allowed' by the State, instead of being reserved | for extra comforts. The Government I lias n'ot disclosed its intentions and apparently does not propose to do «o he- . fore Parliament meets. In the mean- ' time the Minister of Internal Affairs lias explained that the funffs are necessary | because tlie pension scale will be "uniform," and cannot be made to cover the special needs of particular cases. If this means that tho dßabied soldier, having dependents will be* paid no more than if lie had none but himself to provide for, the Nation is likely to protest loudly when tlie Ministry's proposals arc brought forward. A widow will receive a pension, with an extra allowance for each child dependent upon licr. Why should the woman whose husband has been incapacitated in the service of the 'State be expected to share with her husband the allowance that is deemed sufficient for the needs of a single man? The point is one of which more will be heard later. THE BY-ELECTIONS The Prime Minister has gone to Auckland, and the announcement that his I movements for the next few days are ' uncertain is being interpreted to mean that he is contemplating a descent up- . on tlie Bay of Islands electorate. The polling for the vacant seat will take f place next Tuesday, and although reports from the' constituency favor the Government candidate, the Ministers cannot afford to take any unnecessary risk. A week or so ago Mr. Massey was able to state that he did not intend to interfere) personally in the contest, but j the campaign conducted by the Leader flf the Opposition, with the support of a strong team of Liberal members, has hud its (.'fleet. Further South, in the j Taumarr.nui electorate, both sides are « working hard in preparation for the election day. which falls upon Tuesday week. A feature of the situation hero is- the moving of party organisations from the neighboring electorates into Tauniarunui, with the object of rein- a forcing the rival candidates. Mr. Wil- f ford, -Mr. (3. W. Russell and Dr. R. McJfab are. lending assistance of a valuable * kind to the Opposition candidate, and the concensus of opinion still is that he will hold the seat. The Governfnent c has got to win both the vacant seats if P it is to secure anything like a firm hold upon office, and one still hears, predlc- c tions that the outcome of the political struggle, will lie the formation of a na- P tjonal or coalition Ministry for the period of the war. But- further discussion of the subject is hardly worth while pending the conclusion of the byelection contests.