AGAINST LAND TAX.

Ashburton Guardian, Volume 59, Issue 19, 2 November 1938, Page 7

AGAINST LAND TAX.

* OTAGO FARMERS’ OBJECTION. LEVY ON INCOME PREFERRED. (Per Press Association.) DUNEDIN, November 1. Objection to land tax, as an inequitable levy which, in the case of farmers, had frequently to he paid out of capital, was contained in a resolution carried at to-day’s meeting of the Otago Provincial Council of the New Zealand Farmers’ Union. It was stated that the subject was one that had been discussed by branches and provincial executives for years past; but the Dominion executive wished to have the attitude of farmers reaffirmed. The resolution was as follows:

“This council is of opinion that the Dominion! executive should again approach the Government in an endeavour to have the land tax abolished. For many years past this province has advocated this at successive Dominion conferences, and resolutions to this effect have been carried. In many cases this tax has actually been paid out of capital, as the income of many properties is not sufficient to cover the amount of taxation levied. We are strongly of opinion that the continuation of tin's tax is one of the factors which have contributed to the reduction of the national income. The position is a. serious one, and unless some relief is given, disastrous consequences will, be the inevitable result. In the opinion of this council the most' equitable form of tax is income tax.”

Mr W; Lee (Waikouaiti) said that they had no hope of getting the land tax abolished,, as it was the easiest tax to assess. He himself preferred land tax to income tax, because income tax amounted to a tax on thrift and industry. A man who worked hard on his farm and made money was penalised by the income tax, whereas his neighbour, who might do nothing and allow his opportunities to be wasted, had to pay no tax, because he had no income. No one could dodge land tax. Mr R. McCaw (Waitahuna) said that he considered income tax to be the fairest tax in the world, whereas land tax was the most inequitable. * The motion was carried.