Land or Income Tax?

Dominion, Volume 29, Issue 216, 9 June 1936, Page 11

Land or Income Tax?

Sir, —Might I suggest that we are under an obligation both to Mr. O'Regan aud to Mr. Matheson for directing attention to the important subject of taxation? Would it be impertinent of me to say that Mr. Matheson is wrong when he suggests that all taxation should be on incomes; and that his opponent is equally wide of the mark when he puts forward the propostion that all taxation should be on, the land? Mr. Matheson says that if all taxation were on the laud then the farmer would pay the greater share. I respectfully contradict this thesis. A farmer does not pay land tax because he is a farmer, but because he is a laudowner. It is unfortunately true that many men who happen to be small cow-farmers aud others who happen to be large sheep-farmers do pay land tax—and why? The reason is that under our present land system to buy land is practically the only way in which a man can engage in farming. The present land system compels the would-be farmer to become a land speculator, whether he would or not. At the same time, I would point out to Mr. O’Regan that, in my opinion, he would be serving the community better if he would suggest just What increase in the land tax he thinks desirable at the prgsent moment. That would be the best way to help the Finance Minister. —I am, ' LAND REFORMER. Wellington, June S. ,