TAX REDUCTION.

Hawera & Normanby Star, Volume XLII, Issue XLII, 17 July 1923, Page 7

TAX REDUCTION.

THE GOVERNMENT'S POLICY,

CLEAR. STATEMENT BY MR.

MASSEY

4By Telegraph.—Special to the Star.) WELLINGTON, July 17.

"The policy of the Government is to reduce taxation so far as means will admit," said the Prime Minister in replying on the financial debait-e early this morning. He pointed out that very heavy taxation had had to be imposed for war purposes, and they wished to get rid of it as soon as possible, though it might be many years before we got back to pre-war conditions. When things were more normal efforts could be made to remove anomalies, ,and if these existed in company taxation they could be put right. "We can only do one thing at a time/ added Mr. Massey, "and we must first reduce taxation. You wall not get a reduction in the cost of living until the rate of taxation is very considerably reduced.'' Subsequently the Prime Minister referred to the farming class, the most heavily taxed section of the community, what with land tax and income tax. He regauded much of the land tax as a. levy on capital, and although he knew that there was no chance of it he would be quite Avilling to knock out land tax and collect revenue by way of income tax. (Ministerialists: Hear, hear.) ' It would be a much fairer system.