Manawatu Evening Standard. CIRCULATION 4150 DAILY. MONDAY, JULY 27, 1914. THE MORTGAGE TAX.

Manawatu Standard, Volume XLI, Issue 9857, 27 July 1914, Page 4

Manawatu Evening Standard. CIRCULATION 4150 DAILY. MONDAY, JULY 27, 1914. THE MORTGAGE TAX.

It is regrettable that the Minister for Finance could not see his way to give * more favourable answer to the question in the House urging that the mortgage tax be placed on a mora equitable basis. The basis of this tax is not only wrong, but it presses heavily on those possessed of but small means. It is quite true that the law as it now stands provides that the Commissioner of Taxes may, under certain circumstances, remit the tax. This, however, is not generally known, and it is exceedingly doubtful if there are many cases in which relief has been granted. • It is, also, manifestly improper that it should be within the power of a civil servant—however high his position—to grant relief from taxation. A ratepayer should not be placed in the position of having to go "cap in hand" to a State officer and plead poverty in order that he might be relieved of a penal tax, and one that should never, in equity, have been levied upon him. As a result of the existing law cases of hardship unquestionably exist. One of the planks of the Reform party's platform prior to the last election was the amendment of the law in this respect; it was a cardinal plank in their platform; it was one of the reasons for placing them in power; and in the event of the Minister for Finance persisting in his attitude, he cannot blame the electors if they treat this as a broken pledge, and indicate their displeasure at the forthcoming election. It is all humbug for the Minister for Finance to endeavour to make people believe that the provision in the law enabling appeals to the Commissioner of Taxes for remissions provides a sufficient means of relief. Nothing short of amending the law will meet with the approval of the people, and unless the position is faced during the present session, he will find it difficult to explain why the pledge in this connection has not been kept. No doubt, with the ever-increasing expenditure in consequence of the increased salaries of those in the employ of the i State (and which since the present Government took office will aggregate something In the vicinity of half a million), and the development of the nlilitary j system } any Minister for Finance must'

be careful in the matter of remunona of taxation. Any low of revenue resulting from a more equitable adjustment of the mortgage tax could, how- ■ ever, be made good by a reduction in | the military vote, which could be easily curtailed without detriment to the i country. j |