TAXATION ANOMALIES

Evening Post, Volume CVII, Issue 109, 9 May 1924, Page 4

TAXATION ANOMALIES

CUSTOMS; DUTIES ON: POOR / /;;-) ■/;:v.::V/. -::MAN. i.:;? ; ' : Ju^i: y^ / :. /. pbess association.)-''■;/:/ The Taxation/Commission: continued ito;■'' sittings- during-/the /;a'fterpoon.V Mr.' Herbert :S!-'.Ha,wkins; / farmer, of, Hiiinil-tpny//and-director of th©/Farmers'/Ails--tioiieering /Company,-said that- thel coin-. -pany,haa.i;to;.iricreasQ its/net; profits by' per/ cent/-:,tp c prpvid^for ■• .Government; taxation.!' ..-The ■ compaiy had ■ three: ?arn-.: ing departments. ,■-Two- \yere.'--/qir.'a'- coin-"' raission/ jbasis, ■ ;and -earnings could not/be \ uicreased, >yithbut. iricreasiiig i tlie rates./of commission.;■ substantial relief ; the.-, pompany'; could not., carry ;pii- indefinitely. a, nominal .rate ■'of taxatiorijthe company, wasable .to-pay ,its; :,way an&."b..uild;,up'.a-'-^eTy m'odes/t re-, serye; 0f,£46,200 but' ot-profits'•.iii,"twelve' years, B'utthe/higher^taxiihad.gi-adually:-decreased-the^^ amounts.'iuntil /they/actual- ■ ■lyK;ceaMd;-;;'in'-:vspiW.;'bf;''/!the':Ja'bWrmaily.--good • trading/; conditions\ before . the - "de-. pressiorii^of, 19211, :.■ which." tujned/ a-; net: profit: of ..nearly' £60,000. to a v,snbstantial loss.; ,In 19^1. the; /net ■■"■profit'/- was £59,8^2,.:and, the taxation-wa5.£27,309.: 1n:1922' there' was a Joss; of; £1383,, the/ taxation,being £1549....La5t year's -pro-I-fiiwas'£2o7/and:the .taxation "£1443. No/ dividends /were paidduring the last two years. [As .regards his own -taxation-as a -farmer,j the land taxVori -795; acres, in 1912 wa_s! £4 13s 4d, and 0n.709 acres in, 1920' it was '£116 45./ In addition, in-/ comevtax : had been : levied on portions o'Miis gross income without reference to tlie. net income1': ,His 'net; income ' for thb;.'past four: years amdunWd to £235., and he/paid £265 in taxation. ■'-/.■■',' : '■ i-.-Mr. ..George; Cubb, .'farmer,1 of Puriri, urged the abolition of the land tax. He said that, he/ paid £265 6sf Id to the. Tliain'eS'y, County Council as!. "rates . and taxes, and £101 in .land tax on a farmj ['Which carried ,50 .dairy ■■ cows. .'.-■., . ; .

' The Hon. George /Fowlds pave evidence advocating the guulual increase of land values Ui\dlian until \al»eh, <ipdit finni improvements, ccatpcl Lo have au\ belliHK siiyrl until the whole pconomic rcnl. went to tlio conirounily. ill' a&crted Hint. Customs Duties prcEred mp=t. hravily 6n the poor man. The inquiry was adiouruci