GRADUATED LAND TAX

Wairarapa Age, Volume XXXII, Issue 10707, 30 August 1912, Page 5

GRADUATED LAND TAX

THE GOVERNMENT'S PROPOSALS. • DISCUSSION ON THE BILL. t (By Telegraph — Press Association.) WELLINGTON, Last Night. In the House of Representatives this afternoon the Hon. James Allen moved the second reading of the Land and Income Assessment Act Amendment Bill. . The Minister, stated that the Bill contained one of .the Government's main principles of taxation of land. That principle was to increase the graduated tax go as to induce the owners of large estates to cut up their land. The effect of the Bill would be that it would not pay companies and syndicates to hold large estates. They had no desire to increase tho taxation on those who held estates ■ under the value of £30,000. PracI tieally speaking, there was an additional tax on all over that amount.A rcIgular gradation had been arrived at, for equitable reasons. He desired to emphasise the fact that the taxation on all estates over £30,000 in value was considerably increased. The present increases were bound to accelerate the cutting up of large estates. Two of the principles involved were the alteration of the gradation to a regular system, and a 25 per cent increase on estates of over £30.000 unimproved value, instead of £-10.000 as heretofore. Provision was made for' the payment of taxation on goods manufactured outside the Old Country and sold here. He explained that for every £1 increase in the unimproved value of land, there was an increase in tax. The taxation would now bo placed on vT much fairer basis. He was unable to say what would be the increase! because he was unable to sny what the effect would be in bursting up large estates. If there were no estates broken up, there would be a ' considerable increase in revenue.