MOTOR TAXATION

Evening Post, Volume CXIII, Issue 73, 28 March 1932, Page 8

MOTOR TAXATION

BUSINESS .MEN'S FEARS

WOULD GO FOR GOOD

The proposal to divert funds raised by motor taxation to the Consolidated Fund and away from the Main Highways Fund was discussed at the meeting of the Napier Chamber of Commerce, the secretary, Mr. E. M. Chadwick, stating that there was bound to be/ strenuous protest against this from the automobile associations throughout the Dominion. County councils and farmers^ unions were also dead against the proposal, while an official of the Highways Board had stated that he was satisfied that if the money once went into the Consolidated Fund his board would not get enough to carry out essential works. Mr. Haskell Anderson also referred to the proposal with alarm. With heavy traffic licences and Customs duties on tires, etc., the Government1 was getting a sum exceeding £2,000,000 per year at the moment, he said. ■■•■.- ---"It was a class taxationi on motorists and the money-should be spent on the roads, for which purpose it was raised." When the tax was first imposed, said Mr. M. E. Grant, the motorist knew j that it would be spent on the roads and did not mind. It was of no use now preaching to the Government :on a breach of faith. ; The general position regarding taxation was reviewed by Mr. T. M. Geddis, who stated that if there was no hold up in the. expenditure on the highways j then pensions and other things would have to be cut beyond a position which was fair. It was evident that the Commission had gone into each avenue and done a certain amount of trimming on a fixed; principle. , . The' view that the motorist was quite ready to. agree to the new . proposal as a temporary arrangement was expressed by Mr. Chadwick, who stated that it was fearea- that once the funds were transferred to1 the Consolidated Fund that would bo their fate for all time. Other. aspects of the Commission's report were discussed by the meeting, considerable attention being given to the'matter of Government interference with private enterprise. It was decided to suggest to the Associated Chambers of Commerce that steps be taken to have the Commission deal further with this matter.