TAXATION.

Dominion, Volume 2, Issue 586, 14 August 1909, Page 5

TAXATION.

IS ANOTHER INCREASE COMING? MR. MASSEY'fc OPINION. /VI, V;.;: A REPLY TO THE ATTORNEY-GENERAL. ' (By Telegraph.—Special Correspondent.i • Auckland, August 13. . The 'Loader of the, Opposition (Mr. W. P, ' Maseoy). does not believe th(\t Dr. Findlay, in his new capacity as spokesman and special pleader, for the. Government, Li taken very seriously by the public. Mr.; Massey, in an ' interview, said:— :. ' ' , "Thq Attornoy-GtoiOTal says I. blondorod in criticising his Timaru, speech. Nothing - of tho sort. | Dr. - Findlay' at Timaru tried to leave , the impression that the present Government had reduced, taxation. I corrected that impression'by pointing out from . their own .figures that taxation had Very greatly inoreasod- ? during' the: tiiho of tho present Administration; that it was still increasing j.tiud that Dr. Findlay's mission appeared to bo to prepare tho public for a fur- ' ther increase on Socialistic lines, bo much so . as to quite take the wind . out .or Mr. Hogg's • sails. ; For instance, Dr. Findlay said: JThoro ■ .seems no reason,why, after a certain Scgroo of remoteness, tho claim of tho State skoold not prevail over that, of absontco relatives.' • I don't exactly know'what Dr. Findlaymeans • :by a certain degree of remoteness, and he ,' has care not to explain, r : ' "Dr. Findlay 'has said;" continued Mr. Massdy,."that ho (Mr. Massey) hdd stated, tliftt if you take from the wealthy by taxation you necessarily fcduco tho fund thoy dovote' to wagfcs.: I said nothing of the sort/ ,I L Was. dealing with the proposal to increase the lnnd tax, and I said, in effect that if you call upon the settler to pay more than his. fair, sharo'of taxation you reduce his financial ability 'to, make improvements,. and ''' so the worker suffers, and I stand by that statement, . ~ i \ : s

L Then, m dealing with land settlement, Dr. 1< iridlay says, 'Denmark .effected its roi markablo subdivision of estates by tfie prflgiessivo land tax.' That statoment is misleading,' As a- matter of fact, tho land .' 1 tax in. I)(inmarli is small compared with the ■ land tak . in Now. Zealand, but the Danish Government has for many years post done everything pokiblo to, cncotirago subdivision and absolute security of - tenure, londing money, at ~ very , low rales of intetrcst/ - tuid sometimes without interest for a terni: to 1 enable . small:■ farmerß .tojMirolwso the free^, hold-of their holdings. ' The/Dajiish Government is, Up-to-date' with its land lawsi . The New Zealand Government is fifty years bet hind tho times in krid legislation, as in m aJly other matters. ':But: if jtJib progressive land tax is such a very good thing ill the : opinion of Dr,Findldyand: four oolkajniosj ■ why do they not- apply it -to NativelataUP"' I Do you think, that,: rtpart from'the money ! required -for .the battlosnip, the Govomm&nis':'.: will propose to .• increaso taxation? , Mi 1 .' 1 •Mo«sojr;iiraß:asked;'-'v ; i'"' ' v ■ "I dp most, certainly. Air the inddcatdojis . go /in - that direction, r The gospel that Dr'. . landlay is ' preaohing is the gospel of taxa- ; . "tibn, but anyone' who looks'at the -publio 'j accounts for ;thfl..Juno, quarter, will ses that I the financial .is very hi,', (mm, satis- ' : . factory, ftiid. that', a.- great " deal more is required than : the. systematio. and: spasinodio,-;' otforts at retrenchment that the Government is making;-v HadVtlio-difDculty boon, faced ... in time it liave been very mnch easier, i .to doal with now, but tho Government would,' nevor admit that. it me drifting into financial ] trouble until after -the election®,. and then'l it'was too lato to take the steps iihat should-' have boon.taken months before,An incioasc : of taxation during, tlio. ooming- session -may improve matters from the point of view sf ' tho l Government, but from tho • country's• point of view the effcct will bo bad. ond it should therefore bo avoided if possible.", • ,