TAXATION.

New Zealand Herald, Volume XXV, Issue 9036, 20 April 1888, Page 6

TAXATION.

TO THE EDITOR. Sir, —A general clamour is at the present hour going up in New Zealand against the property tax. Admitting for the sake of argument that it is an unfair impost, what tax can now be imposed to take its place, for the same amount of revenue or more must still be raised to meet current liabilities? Some people say, why, a land and income tax ; but land is property, and why tax one species of property to the exclusion of other species? It is argued by some that the property tax is a tax on, and consequently to a great extent prevents, improvements, but I fail to see how this holds good, anyhow to the full extent. For instance, a man lias £1000 in the bank, on which he has to pay property tax. He spends this money in improvements on his farm, the improvements are then taxed instead of the cash, excepting the value of the labour put into the improvements, what difference does it make to the owner ? There is no doubt but that in late years the Legislature of this colony has done much to harass and drive away capital and desirable settlers, by continually imposing additional taxes on property, such as raising the stamp duties and adding fresh duties, increasing the property tax, and enabling local bodies to further tax property to a large amount for a variety of purposes, such as libraries and charitable aid. The first thing a desirable settler does is to look round and take up a piece of property, but if he finds that various bodies are continually making claims against him, and that these claims are liable to increase till they amount to quite a rental in themselves, he gets disheartened, and, if possible, goes elsewhere. It seems to me that we want simpler machinery, say one levy instead of three or four, and for a fixed and moderate amount, so that outsiders might have more certainty as to the future hability of property before investing their money here. I repeat that it is a positive nuisance to have say two or three collectors come to you for rates and taxes perhaps amounting to more than the annual rental, in respect to the samo property. —I am, etc., Ratio.