OVERDUE RATES.

Auckland Star, Volume LXIV, Issue 16, 20 January 1933, Page 3

OVERDUE RATES.

PENALTY QUESTION.

POWERS OF REMISSION. POSITION IN AUCKLAND. The Finance Act of 1931 empowered local bodies to make remissions of the 10 per cent penalty imposed on overdue rates when the financial year of the local body ended on March 31. In drafting the clause the law draftsman apparently took.it for granted that the financial year of all local bodies ended in March, but the Auckland City Council was an exception, its year ending in May. In consequence the council has had no option but to impose the 10 per cent penalty and adhere to the letter. of the law. Just before Parliament adjourned on December 10 last, however, a clause was included in a Finance Act which brought the Auckland City Council into line with other local bodies. A correspondent has drawn attention to this fact apparently under the misconception that the council can waive the 10 per cent penalty for the rates now due. This is not the case, but the council has the power to rebate the penalty imposed on overdue rates for the years 1031 and 1932, a considerable volume of which has been paid recently, including the penalty. The matter was referred to the Mayor, Mr. G. W. Hutchison, this afternoon. Ho stated that as so many ratepayers had met their obligations in regard to overdue rates for the years concerned, there was no prospect of the council favourably considering an application for a rebate, except in the case of poverty in individual cases. As far as the 193233 rates, which were now being paid, were concerned, any question of rebate depended upon tlio re-enacting of tlw legislation. It was possible when Parliament resumed that the same power which had been given the local bodies in the previous years might be con tinued.