NOT EXEMPTED

Evening Post, Volume CXXXII, Issue 49, 26 August 1941, Page 6

NOT EXEMPTED

MERCHANT SEAMEN'S ESTATES

DEATH DUTIES ANOMALY

(P.A.) DUNEDIN, August 25. It has been revealed in the case of a young Otago engineer who was .killed when his ship was torpedoed and sunk by the enemy that the estates of seamen who die as a result of enemy action while serving with the Merchant Navy are not covered by recent legislation which exempts from duty the estates of soldiers, airmen, and men serving with the Royal Navy. This young man was engineer in the Arandora Star, which was sunk off the coast of Ireland on July 2, 1940. He had a little property and in due course particulars of his estate were filed with the Commissioner of Stamp Duties. Under New Zealand law no duty is payable on an estate of under £5000 of any person who, since September 3, 1939, died or was killed while on active service with any of his Majesty's Forces, whether within New Zealand or elsewhere. It was pointed out to the Commissioner that the Aramdora Star had been converted into an auxiliary cruiser early in 1940 and from then till the time of the sinking was engaged exclusively on naval operations, including patrol and convoy duties and the evacuation of France and Norway. At the time of her being torpedoed she was carrying German and Italian prisoners of war and internees to Canada. In spite of this information the Commissioner ruled that, though the Arandora Star had been taken over by the Admiralty, the status of the crew remained that of merchant seamen, consequently this engineer was not on active service within the meaning of the New Zealand law, and thus duty was payable on his estate. In the belief that the ruling is unjust, and that if it is legally correct it does not represent the intention of the Government, relatives of the man concerned have brought the matter under the notice of the Acting Prime Minister, Mr. Nash.