WELLINGTON TOPICS.

Taranaki Daily News, 29 November 1921, Page 3

WELLINGTON TOPICS.

THE TAXATION BURDEN. INQUIRY AND READJUSTMENT. (Special Correspondent.) Wellington, Nov. 25. Wellington business men, who may be presumed to know something of the ways of royal commissions, would have preferred for the investigation of the Dominion’s system of taxation the committee suggested by their own representatives to the commission favored by a majority cf the delegates to the conference of Chambers of Commerce• in Christchurch. They do not agree by a very long way with Mr. McDonald, the chairman of the Board of Trade, that a 'commission would' cost no more than a committee, but it is not on the score of economy alone they would rather see fhe task entrusted to three or four commercial and financial experts of high standing than to a larger number of miscellaneous people who might not be free from political bias. Their idea is that the three or four experts should sit around the table with the heads of the finance and taxation departments, with access to every possible source of information. Having got a thorough grasp of the position by a close personal investigation they could sit alone, still with authority to call for persons and , papers, and finally prepare their report : and recommendations for presentation to the Government.

THE PRIME MINISTER TO DECIDE

Of course Mr'. Massey is not bound by any decision of the conference of the Chambers of Commerce. The voting between the commission and the committee was so close—sixteen to fourteen—that he might give effect to the preference side without appearing to flout the opinion of the commercial community. It is understood he already has listened favorably to a proposal for a i conference between the heads of depai’t--1 raents and representative business men ! with a view to the latter submitting suggestions to the Government. A very ; trifling enlargement of this scheme i would make it sufficient to serve all pre- , sent purposes. A more formal investigationXby a royal commission would ! occupy three or four months at least and in the end probably would throw less light on the situation than would the more direct inquiry. Any proposals by the committee adopted by the Government still would have to come before Parliament, so that the sectional interests mentioned during the discussAbn in Christchurch would be in no peril of being overlooked. The danger at the moment is that £he demand for a royal commission may prevent anything at all being done during the present session. STATE CONTROL. The anxiety of the Presbyterian Assembly to eliminate the State Control issue from the ballot paper of the licensing poll is not shared by the National Council of the Licensed Trade. This is. not unnatural. At the last poll the trade, if not actually saved from extinction by the votes diverted from Prohibition to State Control, certainly was helped by the existence of the three issues. If Parliament is in earnest about the matter next session it will not only define what is meant by State but will also provide for a system of preferential voting. Until these two things are done the retention or State Control on the ballot paper is simply a buffer to the Trade. At the last poll it was merely a term to which any elector might attach what meaning he pleased. Most -controllists who have given serious thought to the question would have the State compensate the hotel-keeper for the loss of his license, and take over only those parts of his premises required for the institution of, a restaurant in which liquor might be obtained under reasonable regulations m limited quantities. This would not be acceptable either to the extreme Prohibitionists or to the Trade, but iX would appeal to a large lujmber of/ moderates on both sides. THE TOTALISATOR.

Mr. Leonard Isitt is not going to persuade the Prime Minister to tax the totalisator out of e?;-istence. The member for Christchurch North, would have the State’s share, of the commission on investments ihade so large that there would be practically nothing left for the racing clubs or the horse owners and the sport would die a natural death. But Mr. Massey, who is nut addicted to gambling, though it is on record in “Hansard" that he once backed a win- • ner at Trentbam, is not going to kill outright the goose that lays the golden eggs. It is understood that his idea of the amount of additional taxation the machine can bear is the increase of the commission from 10 per cent, to 12 1 /} per cent., the extra per cent., of course, going to the Treasury. There is a proposal afloat that the. tax should be graduated according ta the amount of money invested, but this is not favored by flic metropolitan clubs, and probably ■will not be attempted. /