DEATH DUTIES.

Taranaki Daily News, 13 December 1921, Page 4

DEATH DUTIES.

amending the law. _ MAKING ESCAPE HARDER. By Telegraph.—Press Association? Wellington, Last Night. In the House to-night Mr. Masses moved the second reading of the Duties Bill, which he said was a consolidating measure, but there we J one or two amendments which were sirable to move. He referred to the weakness discovered recently by which property might be given away In sums under £l6OO and go duty free. He did not think much revenue had been lost by this, but in any case he was making the amendment retrospective, so that any revenue lost would be recovered. Mr. T. K. Sidey (Dunedin South) questioned the wisdom of making clause 46 retrospective. In most cases jt would be distinctly dangerous, but in this case he felt disposed to give the Premier the benefit of the doubt. Mr. Massey: That is right. When in doubt trust the Premier. Mr. R. McCallum (Wairau) suggested that in the case of estates which pass ‘from husband to widow and from widow to children within a short period there ought to be some relief from the doubh death duty now charged. He alsc thought that in the case of estates which comprised chiefly unearned increment on land there ought to be some special duty imposed. Mr. H. E. Holland (Leader of the Labor Party) marvelled that in times like these, when the Minister of Finance was looking for every penny of revenue, he did not seek to get more out of big estates. Estates had now great ly increased in value since 1908, and h< hoped before the Bill was passed th» percentages in the schedules would alsc ‘be increased. The Hon. E. P. Lee pointed out tha: since 1908 the system o-f charging es tiite duty had been changed, and nov estates not only paid estate duty, bxr succession duty as well. Tills meam that the charges were now much highe: than formeriy. The second reading was agreed to. Later the House went into committe: on the Death Duties Bill, which was re. ported with the following amendment moved by the Premier at clause 46, to insert after sub-clause two, the following sub-clauses; —“2a: Where a gift rfirst becomes liable to gift duty by reason of the making of a subsequentgift, gift duty upon the first gift shall be payable immedifttetly upon the mak'ing of the subsequent gift; 2b, where a gift subject to gift duty subsequently 'becomes liable to a higher rate of gift niuty by reason of the making of a subsequent gift, additional gift duty upon the first gift shall be payable immediately upon the making of the subsequent gift.” The Bill was tead a third time and. passed.