UNPAID RATES.

Auckland Star, Volume LXIII, Issue 59, 10 March 1932, Page 8

UNPAID RATES.

THE TEN PER CENT PENALTY. DISCRETIONARY POWERS PROPOSED. PLEA FOE LEGISLATION. (By Telegraph.—Parliamentary Reporter.) WELLINGTON, this day. The introduction this session of legislation giving local authorities discretionary powers regarding the imposition of the 10 per cent penalty on rates in arrears was advocated in an urgent question to the Prime Minister, the Rt. Hon. G. W. Forbes, yesterday afternoon, by Mr. A. Harris (Coalition Reform, Waitemata) and Mr. A. M. Samuel (Coalition Reform, Thames). It was pointed out by members that owing to cases of hardship arising out of the prevailing depression, many local bodies desired to extend leniency to ratepayers, but the provisions of the Act being mandatory -did not permit that to be done. The Prime Minister replied that the relevant section of the Act authorised local authorities to add an additional 10 per cent to unpaid rates, but did not impose any obligation upon them to do so. Therefore any local body could refrain from adding the penalty for such period as it considered reasonable. "It is understood," added Mr. Forbes, "that several local bodies are having regard to the financial position of their ratepayers and are refraining from acting in a harsh manner as regards the penalty. The Government will, however, be quite prepared to consider making provision along the lines suggested by the members if representations to that end are made by the principal local body associations." Mr. Harris pointed out that once the local bodies had advertised their intention of imposing the penalty, they had no discretionary powers. The Prime Minister said he would be pleased to go into the matter.