The Waikato Times AND THAMES VALLEY GAZETTE. TUESDAY, NOV. 6, 1888.

Waikato Times, Volume XXXI, Issue 2547, 6 November 1888, Page 2

The Waikato Times AND THAMES VALLEY GAZETTE.

TUESDAY, NOV. 6, 1888.

Equal and exact justice to all men, Ot whatsoever state or persuasion, religious or political.

The ultimate accomplishment of colonial federation, though slow in the process of development, has by no means filled with despair the hearts of those who devoutly desire the consummation of that great question. The cause advanced beyond the region of theoretics, and entered that of practical polities, when the Federal Council, which sat at Hobart, was created. But public fen our hung fire at that stage, because of many reasons affecting the internal economy, or independent j legislation on leading subjects of intercolonial comity, not having yet been fully conceded as being within the scope of the Council's functions. There are many lions in the path of federation. In the first place one of the most essential elements, if not the very essence, in the realisation of colonial federation is reciprocity. It is this difficulty of adjusting the tariffs of the different colonies on one uniform scale that raises up the greatest obstacle to be overcome. Under the present aspect of things it would appear as though the task of reconciling the conflicting differences in the several Customs duties, or removing the antagonistic jealousies existing between them, is almost insuperable. It is the ambition of one colony to be the greatest manufacturing State in the Pacific. The aspirations of another lead its rulers to achieve national strength, wealth, and prosperity by the adoption of quite a contrary set of principles and rules. Looking with an impartial eye at the spectacle presented by the whole cluster of Australasian communities, their attitude towards each other has the appearance of so many alien nations engaged in a contest for supremacy, rather than of a division of the same race, occupying integral parts of the same mighty empire, guided by the identical spirit of free government, and influenced by the example of the one ancient and noble history. The present constitutions of the colonies and the line of legislation they follow under them, render it neces-

sary for the purposes of government that they impose j Customs clues. Some, however, go beyond the actual requirements of revenue, and inflict duties, differing in degree only as regards severity, in order to shut their doors against their own kindred as well as the rest of the world. In all of this we can detect the selfish proclivities predominating tup above patriotic feelings. Whilst the sum and substance in the art of government, manifested by some of the colonies, appear to be to wring out the very last farthing from the tax-payer by means of heavy tariffs, no approach*) towards the solution or attainment of Australasian federation will be found easy. The evil results of these methods of taxation exceed the bene6ts they confer on the country j nor in the long run are the expectations claimed by politicians who favour them of a permanent character, or

even forthcoming. The imposition of a lioavy tariff in Victoria, has induced a fictitious prosperity which has swelled to such an unnatural inflation thas a disastrous collapse is now looked for. Nor has the external trade of the colony improved in the manner anticipated by the Protectionists. Objection can also be found with features in the policy of Free-trade in New South Wales, which do not assimilate with the conditions of a new country in a state of transition. In New Zealand the burden of taxation, already grievous under the Property-tax, has been augmented by the recent introduction of a Custom's tariff of a drastic nature, in order to raise additional revenue for administration exigencies. The consequences of this severe taxation are of a much more injurious character than the necessities they are intended to serve. Though it has to be proved that the revenue expected by the Colonial Treasurer will be realised, there can be no doubt that confidence on the part of Capital is as yet by no means restored. Notwithstanding the improved markets in our chief staples and the efforts strongly made to inspire better hopes in the minds of the people, there is no cessation of the migration from our shores, nor an indication of contentment amongst the population of the colony. So modification of the Property-Tax, whether by abolition of the exemption or lowering of the rate, will reconcile it to the people at large. The wisdom, as well as the economic effects, of the tax must be faced, and the question of substituting in its place a Land and Income-Tax must be considered in the near future. This hitter tax would, we feel convinced, be found, after experience, to supply all the financial requirements of government without being unduly oppressive on the people, scaring away capital, or checking the industrial enterprise of the couutry. If this tax was adopted in all the colonies, the dependence of governments on the revenue derivable from Customs would bo considerably relaxed, and there would then be a clearer possibility for the establishment of a uniform tariff throughout the whole of the Australias and New Zealand on the basis of reciprocity such as would strengthen the bonds of racial kiuship and render feasible a colonial Zollvorein, which in its turn would probably expedite the crowning act of Imperial Confederation.