TAXATION

Nelson Evening Mail, Volume LVI, 12 October 1922, Page 5

TAXATION

REDUCTIONS OF NEARLY A MILLION (From Onr Parliamentary (Virrrupoodeni) WELLINGTON, This Day. In moving the second reading of the Land and Income Tax Bill, which involves roduciions to taxpayers amounting to £929,100, the Premier stated in the House that he was taking a risk, but it was justified. He had no hesitation in saying that high taxation had been a very serious matter, both to the producers and to the companies. It had been admitted that the taxation of companies could not be reduced unless it was increased on individuals, owing to the heavy burdens which the State had to cany, but this bill reduced the maximum income taxation to 7s 4d in the £, compared with the previous year’s 8s 9d. The maximum land taut would be 8d and three-fifths of a penny in the £, instead of lOd and two fifths of a penny in the £. The remissions would operate in respect of land tax due next month and income tax collected next February. Replying to a suggestion that land tax demands be deferred until January, when’ farmers incomes improve, .Mr Massey regretted be could not do this, but he had arranged with the Tax Department to make things as easy ae possible. I cannot advise the people to refrain from paying their taxes, he added, but if they give a promissory note with interest added, I don’t think there will be much difficulty in making the arrangement. lam throwing this out as a hint. Mr Sicley opened for the Liberal Party and said the relief would undoubtedly be welcome, but he believed that the whole system was inequitable and should be overhauled. In particular he referred to company taxation. Labour argued it was wrong to give concession to large landowners and to people with big incomes. The Bill was read a second time after midnight.