DEATH DUTIES

Press, Volume LXXXVIII, Issue 26671, 4 March 1952, Page 3

DEATH DUTIES

FARMERS SEEK CHANGE IN SYSTEM

(New Zealand Press Association) WELLINGTON, March 3. “Although there were many matters of major importance before us, none was regarded more seriously than the question of taxation.” said the president of Federated Farmers (Mr W. N. Perry), at the end of a meeting of the Dominion council of the federation. “The situation, which is arising out of the operation of the standard values system, coupled with the present high death duties, is apnalling,” he continued. “It has resulted in some cases in the imposition of taxes, the total of which exceeds the value of the farm propertv itself.” In one case, he said, the amount necessary to satisfy all liabilities, including the Government, would be nearly twice the value of the land and its improvements. In this case the property could not be satisfactorily sub-divided, and the money required obviously could not be raised by mortgage. The value placed on the stock for probate could have been realised only if the stock had been sold at the actual date of death of the owner. “What is the widow to do under such circumstances?” he asked. “What is the Government going to do? Does it intend to make itself a glorified mortgagee in possession?

“These are matters which the public should ponder. If some of the benefits provided by the Government ase to be bought at the expense circumstances such as these, it is high time the people of New Zealand took stock of their attitude. The position which has arisen is one which calls for nromnt action, many of the people "oncerned, such as the one I have cited are hack-block settlers who have given sterling service to New Zealand Surely they deserve more consideration than that which they are receiving."