Death Duty Defended

Press, Volume CIV, Issue 30736, 28 April 1965, Page 3

Death Duty Defended

(N Z Press Association) WELLINGTON. April 27. Many large estate owners are “hanging on to their estates too long,” a New Zealand Inland Revenue Department head believes. The Controller of the Duties Division of the Inland Revenue Department, Mr A. T. Duncan, said last night this was depriving intended beneficiaries of help when they

needed it most, while they were young enough to set themselves up in business. Mr Duncan is retiring this week. Of taxes generally he said yesterday that death and gift duty laws were an essential part of present social systems. Many people advocated that death duties should be abolished. This would mean the introduction of other taxes far less palatable to everyone, or perhaps an increase in other taxes. About £lO million was collected in death duties each year. The rates of duties deduct-

'ed from estates in New Zea-; land was comparable with those deducted in Britain.; Victoria and New South Wales. Concessions made to a beneficiary widow were as good as those made to widows in other Commonwealth coun-i tries. Estate owners should gradually cut down the size of their holdings and release the capital to intended beneficiaries. but this should be done with the assistance of specialists. Correctly done the duty liability on estates could be, cut to a minimum.