MOTOR TAXATION.

Auckland Star, Volume LVIII, Issue 195, 19 August 1927, Page 8

MOTOR TAXATION.

WILL IT BE DOUBLED? ROAD-USERS MUST PAY. I'LAIN STATEMENT BY PREMIER. PROPOSALS TO COME LATER. (By lelegruph.—Parliamentary Reporter.) V. ELLING 1 ON. Thursday. "Is motor taxation to be doubled?" The Prime Minister gave a fairly pi.iin hint to the House during the financial debate to-day that a heavier contribution will have to be paid by road users to relieve what he regarded as au overpower, „g burden on local rates, which handicapped producers.* Several speakers during the debate, lie said, bad declared motor ears were responsible for a good deal of our economic trouble. In another ease, it was suggested that farmers had too manv motor cars. It was not possible for anV goycrnment to control the activities of indiv id mils in the way of saying what tiicy should, or should not, buy. Mr T. M. YYilford (Hutt): I hope you won't try! 1 3 ■ J ! r " " Xo - 1 think: there is ju.->t a little bit too much of that already but I say definitely it is a matter for the individual himself." It was ouite I>ossible, he continued, to quote hundreds of cases where ]>eople hod accepted responsibilities on time payment, which they found impossible to pay off, but that did not get away from the fact— and he was referring in this instance to the larniing community—that white the Government was not going to say what they should buy, they were not going to assist tliem to buy luxuries. The Local Rate Burden. One of the factors affecting the farming community was that the local rating was a far heavier burden on them than any Government taxation iu existence. He would not go into all the details, but he would venture on one or two points which would help to reveal the position. One was the charge for maintenance of roads. The Main Highways Act had specified certain roads as main highways, and, while this schedule did not give general satisfaction, it was a well thought out scheme to endeavour to get better roads and cast tho natural cost of those roads on to the pepole who used them. While this scheme had not been able to realise all they thought necessary, they could not get away from the point that the amount of taxation per car, including tyre tax and flat tax, was £3 per annum, but the actual cost of road maintenance per car was £« per annum. "And," asked the Prime £3?» tCr ' "k° ' 3 paying that extra Mr. Lysnar: The ratepayers! Mr. Coates: Exactly. To a great extent ratepayers in the country districts are finding the £3, which should really be found by those who used the roads. (Hear, hear.) I quote this point which occurred in my search to discover the basis of the difficulties, as they rcYeal themselves. It clearly shows that those using the roads are either asking for something not economical, or, if it is economical, then obviously those who want better roads ought to contribute a greater proportion of the cost of the higher type of road. , Mr. Wilford: What about the man whose property is improved by good roads ? To Help the Producer. The Prime Minister replied that in any case his local value went up and he automatically paid more rates. Later on, the Honse would have an opportunity of listening to the Government's proposals in regard to this very difficult problem which faced the country, and particularly the country settler—indeed the motorist himself. "While I do not say that all the balance comes off the man on the land, tile case does indicate that rural districts are being asked for a type of road which they do not -equire for themselves," said Mi". Coatcs. Mr. Ransom: Are you prepared to extend the national highways the backblocks ? Mr. Coates: I will not pursue the matter further, but will leave that thought as it is, and later on I, or one of my colleagues, will have an opportunity of placing before the House a scheme which, I hope, will give a measure of satisfaction. If we go on at the rate we are going to-day, the primary producer will be in a difficult position. It amounts to rent in my own district of £1 to 30/ an acre. Mr. Rhodes: It will put him out of action! Air. Coates: What we are trying to do is to assist the primary producer, the man on whom the country depends for its prosperity, and if he is unable to keep his head above water, then the effect is seen in decreased production. Mr. Glenn: The farmer is really entitled to a car, though three of your Ministers say he is not! Air. Coates: "I have not heard that statement." He added tliat he had met a gentleman who put up his car after the war, and had since taken only one trip to Wanganui, which cost £10, and the car was still locked up. Air. Samuel: I would not like to buv that car now! (Laughter.)