PARLIAMENT.

Wairarapa Age, Volume XXXII, Issue 9664, 1 December 1909, Page 5

PARLIAMENT.

LEGISLATIVE COUNCIL. By Telegraph— Press Association. WELLINGTON, November 30. In the Legislative Cuuncil, this afternoon, a further discussion took place on the following motion, moved by the Hon. E. C. J. Stevens (Canterbury)" That in the opinion of the Legislative Council it is expedient that facilities be given for the registration in name of the holdfr of any bonds of the New Zealand Government which are payable to bearer, and if local bodies in New Zeaalnd are not empowered to establish a similar system ot regi Ural ion of any of their bonds payable to bearer, the necessary power shoulJ be given them." Dr. Firidlay replied at considerable length. He said that no general desire had been expressed to alter the present system which had been in force for forty years. Any alteration would destroy a feature of the present system, viz., negotiability of such documents.

On the division the motion was lost by 25 to 7. The Council then adjourned.

HOUSE OF REPRESENTATIVES. In the House of Representatives this afternoon, the Death Duties Bill was committed. Mr F. EL Baume (Auckland East) criticised the imposition of duty on small estates, and said that increased taxation should come from large estates. Mr D. McLaren (Wellington East) endorsed Mr Baume's views. Mr G. V. Pearce (Patea) said that the House was trying to drive capital away instead of encouraging it to stay. Mr J. Stallworthy (Kaipara) deprecated raising the qjestijn of the poor man versus the rich. Mr A. L. Herdman (Wellington North) aaked how the trustees of a large estate, paying a duty, say, of £40,000, were to raise money. He suggested that a scheme be devised enabling a man to pay sums of money to the public trustee during his lifetime by way of death duty on his estate.

Mr Baume said that the bulk of the revenue would be raised out of estates between £I,OOO and £IO,OOO which was not just.

Sir J. G. Ward, in reply, said that out of 1,568 estates paying duty last year 957 paid on estates under £I,OOO. The relief given to such estates under the new proposals would be considerable. The duties were designed to produce £IOO,OOO a year, and if larger estates were taxed more heavily it might result in capital being withdrawn from industries.

Mr J. Allen (Bruce) referring to the estate duties, said that the Premier was right in saying that if the rate of taxation was too high on large estates it might have the result of disturbing capital, but Mr Baume was correct in saying that smaller estates were unfairly taxed. On the motion of i?ir J. G. Ward the following new subclause was added to clause 2:-—"The estate duty on any estate shall not exceed the amount by which the final balance of that estate exceeds the sum of five hundred pounds, and the estate duty payable on any estate, the whole of which has been by the will of the deceased left absolutely and benaficially to his widow, shall not exceed t'ie amount by which the final balance of that estate exceeds five thousand pounds. On clause 41, which exempts anti-nuptial marriage settlements, Mr J. Alien moved to extend the same to include gifts made by parents of parties to a marriage. The amendment was negatived by 37 to 22.

On clause 43 Mr Allen moved to delete £SOO from the clause, which exempts gifts of les3 value than tha sum named from duty. O. division the amendment was lost by 38 votes to 19. On clauße 67, which grants power to th<J Commissioner to assess duty under the Act on property other than land in such a manner 89 he thinks fit, Mr Allen objected to the enormous powers given to the commissioner which might be used arbitrarily. He uiovea that the clause be amended so as to render the commissioner's assessment subject to the right of appeal to the Supreme Court.

The House rose at 5.30 o'clock. In the House in the evening, at clause 79. section 5, providing for exemption i'rom succession duty on native property not exceeding £2O 0 in value, Mr W. H. Berries (Tau raiiga) moved to increase the amount to £4OO, but the amendment was negatived by to 19. Mr R. A. Wright (Wellington South) moved a new clause to the effect that no duty shall be charge able on moneys payable under life insurance left by a husband to wife not over £I,OOO. The Premier pointed out that already a widow was exempted up to £5,000 from estate duty. Mr W. P. Massey said that clause 12, dealing with estate left to a widow had apparently been misunderstood by the committee who were of opinion that a widow was exempt ( up to £5,000, whereas the clause irovides Icr exemption only in ri-

gard to the balance of the estate over £5,000 when the whole estate was left absolutely for a widow. The Premier agreed to re-commit the Bill later on with a view tu remedying clause 12, and Mr Wright withdrew his amendment.

j Mr P. E. Bourne (Auckland East) moved that the first schedule be amended so that all estate 3 between £SOO and £I,OOO be exempt from estate di'ty, bringing the law into line with that of New South Walej. The Premier said that if the amendment were carried he would have to ask the committee to increase rates on larger estates so as to provide the revenue to be raite.l by means of the Bill. Mr Baume's amendment'was lost by 44 to 26, and the Bill was reported. The House then went on with the Shipping and Seamen's Amendment Hill. Replying 10 a question the Hon. J. Millar said that oil launches plying for hire or engaged in competitive pursuits would be required fcD carry an engineer, but would be exempt if used for private purposes if not over 50 tons.