Parliamentary.

Waikato Times, Volume XII, Issue 967, 3 September 1878, Page 2

Parliamentary.

KOUSE OF REPRESENTATIVES.

[PRESS AGENCY.]

Friday.

The House met at 2.30.

SUNNYSIDE LUNATIC ASYLUM.

Mr Turnbull gave notice to move for £IO,OOO being placed on the Supplementary Estimates for improving Sunnyside Lunatic Asylum. GRAND JURIES. In reply to Mr Wood, Mr Stout said Government did not intend this session to introduce a Bill for the abolition of Grand Juries. the land tax. Mr Fox called the attention of the Government to an error in the Land Tax Bill, by which it read, “ a tax of a halfpenny in the £100,” instead of “ per £l.” Mr Ballanco explained it was a printer’s error, but an obvious one he thought. NATIVE AFFAIRS. ' Mr Sheehan announced that on Tuesday next he would deliver his statement on native matters generally. THE FINANCIAL POSITION OF THE GOVERNMENT. Mr Ballance, in moving the second reading of the Land Tax Bill, piOr ceeded to explain that, having invited a debate on the whole Government policy, he would not confine himself to the Bill under discussion. Referring to the colonisation of the Land Fund, he said that though the direct gain through that had only been £91,000 in the half-year, the indirect gain was much larger. The Land Fund in many of the provinces did not come up to the estimate, aud, had it not been for the surplus from Canterbury and Otago, there would have been a deficiency

of iJ279,000; and, instead of having a surplus, and being able t) remit taxation, • the Government would , have Jiad to 'propose fresh taxation**' Referring to the reductions iu tHTciff,- the Treasurer pointedpufc that bur taxes upon the artiebs'of the' breakfast-table were ; considerably (dou|le in some instances). : J-'tH-m in j an#oi the otlier Australia colonies, and,' after' the proposed reductions, there would still be a Jai^e.per-ceutage,in,fayoivof:tbeother K (colonies. As, to a land tax, he was surprised to see such an amount of -opposition to a tax so fair in prin-, ciple. ; ; He drew a distinction between land and improvement. The latter being' 1 the 'result/ of' industry ;and!pc?rseverjuice, be thought; should (be exeiti.pfc. It had been a const ant of comphiliit amongst settlorsof the agricultural class, that the more' ,tliey .improved tho (| more they were rated*. <The hon, gbntlenieu drew a vivid • 'between ; the land, and ; "the "' iriere' speclilauor, wnW bought laud merely to hold it, with the object .of sellings it at an immense profit vy-uen, t:he land had acquired great valite.jfy'jjue industry of the legitimatelscjbtiers around about. It was; the theory of encouraging the industry oi the first class, «nd compelling, the others to contribute toward the benefit they derived from the industry of the former, that was the principle which ran all through Hie Bill/under discussion.' 'MnStuart Mill adhered with great tenacity to that the State' by right ought ttto'wn the linearued increment oulanded property. But the Government felt, to idopt that principle, would be a discouragement of in-" djist'U}', ( i and , therefore they only proposed to take a portion of the unearned increment. It had been argued that the tax would fall heavier r i.pon rural lands than upon laud in the cities, but he disputed that. No rural land in the country had shewn such an increase in value as the city: land. The Marquis of Westminster, supposed to be the wealthiest man in "the world, became so by the purchase of. land in : towns, which increased immensely ;in value. The very same causes w'ere in< active operation in this colony. As a 'proof of the fairness of their proposed tax, he might instance the general satisfaction with which they were received in all parts of the colony. Not a single word of objection had been heard. This tax, too, had the merit of simplicity, as. compared with what was commonly known as the "all-round tax," which was seen in operation in the United States, and wjiich the.;;most eminent authorities pronounced as unfair and:unequal in its operation, some of the smallest States paying as much as the great State of New York. Government had decided, from motives of expediency, hot to subject the Maoris to the proposed tax. Anyone reflecting upon the different circumstances of the two. races, thfir surroundings and instiucts, would, he believed, admit the inexpediency of subjecting the natives to this lax. As to an income tax, the hon. ; gentleman pointed out that, even ju England, it was an exceptional tax, levied for warpurposes generally, or in cases of urgency. The income tax in America had not been attended with the success anticipated from it. Another reason why they should not impose an iucorae tax, was the fewness of large capitalists in the colony. But it was a different matter in the case of the income tax on Joint Stock Companies' profits which represented the savings of the wealthier classes. Touching the beer tax, he argued there iitd been no. complaint to speak of—certainly no well-grounded ciomplaLit. . Neither working men nor publicans objected. The lion, gentlemen then proceeded to controvert the arguments raised by the brewers against the tax. He pointed out that the revenue had lost largely, in consequence of the high protective duties placed on it, to assist the colonial brewers. Had the duty of only 6d a gallon been retained upon English beer, the revenue from it this year would ha'va been £SG,OOO, whereas the amount collected from the tax was only .£23,000. After all, the tax fell upon the consumer, and he did not feel it /he would as cheerfully pay lOd as Bd. After careful inquiry, it was estimated that £40,000 per year would be derived from the tax, and owing to It* simplicity, the collection of all that sum would not cost above dS'JOO per j annum. The New Zealand brewer was more highly protected than the brewer in any other colony, and would still be more highly protected, and therefore had no reason to complain. Coming to the tariff, that was a question which must necessarily evoke a large amount of opposition. The object of the Government bad been to encourage free trade, and which, from the unrivalled position and resources of the colony, must ultimately prove of incalculable benefit to the whole colony. It was very unwise of the Legislature to protect the produce of ono part of the colony against another. The hon. gentlemen quoted statistics to shew that no danger need be apprehended from free-trade, inasmuch as New South Wales (who, liko New Zealand, subsidised the San Francisco service,) had only received in the last year ,£37,000'3 worth of grain from California, while New Zealand sent to Sydney £4G,ooo's worth. It appeared to him that at this time of dav it ouirht v o to need no argument to convince the grain-grower that protection was not his friend. Comparing one

colony with another, as regards the effect of protection, the hon. gentleman pointed out that New much smaller 'population,-'' had a greatur revenue ;th;in /For tho last ten the?" elxpdirts' of Victoria had while 'it New South >Walfk frq/nj /f&6s; ; fto 1876, her and many other iustaiVces that could bo cited, point to show that the true policy as free as those of the mother country, while they would not dis"tuTb r "some~dubies tliHt-at-pretient were necessary .for Vi revenue purposes; They proposed not to levy any more dn,tiesrfor protective pur poses. As regarded the* tax : on ;'bbbls, ! it'did'hotVfall upbn'tße;work- 1 * ing man,'fcjy the siiri.ple raakm that he got; .hifij l>qpts made in the colony. The chonge of the ad valorem tax would put an end to the organised system of 'fraiid 1 which' been* growing up.' 'One case, been brought under-his own notice by an importer, who had received two ih- ; Voices— : o'n'e v fdr'-the purpose of pas£ iug the Customs beipg 30 pur cent, below the other, .and similar instances were numeroup. (The hon. gentlemansatdownamidst applause.)

From our Special Courespondent WELLING TON, last night.

In the House this afternoon, Mr Pyke gave notice of amendments in committee 6a the Companies Income Bill, with the object of exempting mining co.m'pauie'a from taxjltion. Mr Barff brought of, the Classifiicabion Committee on two petitions, one of which (from Mr Alley, of Ohinemuri), alleged that he, was compelled to remoTve from his land by the natives, who "were instigated .by the;. (jroyernnient to drive his cattle eft". He asked the ruling of the Speaker, as to whethe'r this" petition should not have .been deajt wjtb by the Native Affairs Committee.' Mr ; explained, that the Native Affairs Committee had considered that the matter was not one -that properly came within their province. The report was brdered'to lie on the 'table. The Speaker said be would consider the: question on which he was asked to rule,-and give an early reply. MrSwau-son asked t.he.Minister for Public "Works to lay on the table certain information in detail, with reference to railway workshops in Auckland.

the Miuister of Works said the information was in the Public Wor.ks Office, Auckland, and returns would be obtained.

The House then went irrto corn mittee on supply.

Major Aikinssn is now speaking on the finances of the Government, and they have intimated that" they only intend constructing railway lines through Crown lands, so that the expense, may be recouped to Government.