TAXING COLONIAL PROPERTY.

Temuka Leader, Issue 1385, 29 August 1885, Page 3

TAXING COLONIAL PROPERTY.

Although a general interest was, doubtless, felt in New Zealand in the defeat of the Gladstone Government, probably it was not generally known that a clause in the fatal Bill on which the Government was wrecked was 'specially aimed at the colonies. The measure, of course, has had the fate of an untimely birth, but, as concurrent belief looks to the certain and speedy return of the Liberals to power, it is in the highest degree likely that the measure will reappear. In such circumstances it will interest gome to note that, under the section dealing with the duties on succession and legacies, probate of the will of any man dying in .England, and leaving property in a colony, involves the payment of full duty on all his property in the colony to the English tax gatherer. It would not signify that the same property must pay succession duties to the colonial Government, which, in New Zealand at

least, are heavy enough in all conscience; it mu-t pay double duly if ever the provision referred to c mes to be enacted. If it Im only the colonist who dies at. Home while enj tying the otium cum dignitate of an absentee consuming the fat of the colony on a distant shore, probably there would be no very general objection raised in the colony, but such a double impost as this must have a most detrimental effect on English investments in the colonies, and a man would think twice before parting with money for colonial investments which, in the event of his death, would be subjected to a double squeeze, and be submitted, both in the colony and at Home, to taxation on that liberal scale which finds favor with Treasurers eveiywhere. The intention was, no doubt, to meet the case of wealthy foreigners residing in England, but there was no exception in favor of the •* children of the kingdom,” and under this “ Liberal ” legislation colonists and foreigners were on an equal footing. The measure, »s I have said, may be regarded as only in a state of suspended animation, and will in due time make its appearance in Parliament, and it may bo worth the while of colonial politicians to consider whether it is not an invasion of colonial rights, and whether the British Government has a right to tax property “ which by reason of the local situation thereof to use the words of the Bill—is rightly outsMe the jurisdiction of the Chancellor of the Exchequer, and fair game only for a Colonial Treasurer to pluck.