The Evening Star TUESDAY, JUNE 24, 1923. PARLIAMENT AND TAXATION.

Evening Star, Issue 18668, 24 June 1924, Page 4

The Evening Star TUESDAY, JUNE 24, 1923. PARLIAMENT AND TAXATION.

The Parliament of New Zealand assembles this week. The event is being looked forward to with particular interest from a party point of view. Labor, the smallest of the three parties, has been more or less unostentatiously working on its got-ting-ready-for-officc campaign during the recess. The Liberals have bestirred themselves at the eleventh hour, and executed a smart sprint or two so as not to be left on the mark. As to the Government-, Mr I Massev, after strenuous work in London, has since his return practically shouldered all the publicity work on behalf of Deform, heightening the. impression of the one-man Ministry in the minds of those who measure Ministerial worth by the polemical foot-rule, and forget or ignore tbs solid but not showy devotion to departmental administration exhibited by such a Minister as, say, Mr Coates. Speeches and interviews have conveyed the possibility, if not the probability, of a dissolution and a General Election. Tho oldest and wisest and shrewdest of those who, while not in Parliament, are of it, and who watch its course most discrimlnalcly, do not regard the chance of a dissolution seriously. It is sincerely to bo hoped that they will prove right, for this Parliament has work to do, and in particular one piece of work which is particularly urgent and which, if well done, must react roost promptly and beneficially on the prosperity of Now Zealand. That work is a lightening and a readjust' ment of taxation. It is, of course, inevitable that on tho first opportunity, in the Address-in-Repiy debate, the right of the Government to remain wiicrc it is will lie challenged. It will he regarded as a point of honor by the Government’s twoheaded opposition that each head shall throw out this challenge—that each shall bark, ncet in unison, and possibly with mutual snarling asides or snaps at each other. But as to biting and tearing to pieces with the common purpose that foxhounds show when the quarry is caught, that is quite another matter. It is to be hoped that tho barking prelude will be mV rci fully short, and that Parliament will settle down to real work as quickly as possible. It is Parliament’s duty to the country, and tho country expects members to do their duty first and let the largely personal bickering wait.

Last week Mr Peter Barr stated at the annual meeting of the Perpetual Trustees Company that the report of the Taxation Commission was unanimous, that Mr Massey had expressed great confidence in the Commission, that he (Mr Massey) had repeatedly announced his intention of lightening the burden of taxation, and that the inference was that the Taxation Commission’s report would he acted on. Mr Ban' was a member of the preceding Taxation Committee, which, it may be remembered, presented majority and minority findings and recommendations on vital principles of taxation. It may be taken for granted that Mr Barr spoke on reliable authority when he said that this later Commission bad presented a unanimous report. Obviously the unanimity is directed towards the reduction of taxation, and just as obviously Mr Massey approves of such action and will place before. Parliament proposals in that direction. Until Parliament meets the public is not likely to know any details of the report. Meantime the farming and commercial classes will await them with what patience they can muster. They expect direct relief. If they get it, ono immediate effect should be that the working classes will get indirect relief. For taxation works downwards throngh the social scale. When it was imposed at the top, the bottom layer felt it at once in lessened employment and a higher cost of living. If it is going to be lightened at the top, then naturally the pressure on the bottom should ho eased. Work should be more plentiful, and the same amount of wages should go further and enable the standard of living to bo raised. But it is very doubtful whether the wage-earners will look at the matter in this light. Their parliamentary leader does not, Mr Holland has notified his intention of opposing any reduction of direct taxation unless the Civil Service first receives salary increases. This is throwing the axo helve after the head with a vengeance. Labor’s Easter attempt at catching the Public Service vote was disastrous, but Labor is now to have another try. It must surely know better. When the finances of the dominion were sagging badly Mr Massey cut expenditure by retrenchment in the’‘Public Service, and went*for more revenue by pilkrg on taxation. Experience soon showed that be overdid taxation; and it is the firm belief of those best fitted to know that he did not go nearly far enough with retrenchment. Ho is now understood to bo anxious to rectify his mistake regarding over-taxation. Yet Mr Holland would .appose such action unless at the same time the little amount of good work done in the way of retrenchment is completely undone. If this is Labor's policy, it is as illogical a ono as can bo imagined. To ignore the lessons of experience, so recent and so plain, is not a sign of outstanding fitness for political leadership. The driver who, having lightened his load because of his horse’s inability to pull it up a hill, insisted on jamming his brake hard down during the climb would bo a long time getting there, and his horse would bo of little use thereafter.