THE GOLDFIELDS.

New Zealand Herald, Volume XLIII, Issue 13303, 9 October 1906, Page 3

THE GOLDFIELDS.

» ■ TAXATION OF MINING PROFITS AND DIVIDENDS. PROPOSED INCREASE DISCUSSED. At the mid-day call of the Auckland Stock Exchange yesterday one of ; the members, Mr. J. 0. Cblbeck,' drew attention to the ■' proposal contained in the amending Bill to the Land and Income Tax Assessment Act now before Parliament, which provided that the income tax should be raised to Is in the £ on all companies paying dividends in which the amount already distributed amongst shareholders was equal to the original capital of the company. He held that such a provision, if it became law, would press heavily upon the Waihi and Waiotahi shareholders, and suggested that the Exchange should strongly object to the proposed increase. It was quite true that in trading companies the income tax on dividends was Is, as against 6cl for mining companies, but the fact should not be lost sight of that mining companies already paid a heavy gold duty, besides very heavy charges annually for rents and other taxes, to say nothing of the large revenue accruing from stamp duty on share transactions.. Mr. J. M. Lennox was thoroughly in sympathy with the proposal to take steps to prevent such a Bill from becoming law, and pointed out that in New South Wales the Government did not charge duty for the transfer of mining shares. Here, on the other hand, an"enormous revenue was obtained from the stamp duty on all contract notes. The > adoption of such a proposal would seriously handicap mining. Mr. F. Hull: "In all other countries in the world the Governments foster mining, but here they try to damn it." The Chairman (Mr. G. A. Buttle) said the Bill aimed at taxing the profits on. speculation as well as the income derived from dividends. Mr. Hull: "Is there any provision for paying losses?" . . The Chairman said there was not, and suggested that before passing any resolutions they should send for a copy of the Bill. Mr. E. Anderson suggested they should get the Exchanges in other centres of the colony to act conjointly with the Auckland brokers to try and stop the passage of such a measure. With the large bodies of low grade ore in the Auckland goldfields districtit was absolutely necessary to have foreign capital to develop them, and a measure like the one proposed would tend to block it from coming in. Mr. Lennox moved, "That the matter be referred to the committee to get a copy of the Act, and with power to get other Exchanges to act in conjunction with the Auckland one." ; ' Mr. H. Shepherd said it seemed as if the Government was determined to penalise the mining industry instead of encouraging it. Mr. Colbeck \ said they should remember that there was only one Waihi, and they had to wait 20 years for a Waiotahi. Every ounce of gold cost the investors fully £4 per,ounce. The motion referring the matter to the committee was then agreed to, and it was decided to ask Mr. A. Kidd, M.H.R., to furnish the Exchange with a copy of the amending Bill. . •' .* - WAIOTAHI. The manager of the Waiotahi mine reports for the week as follows: N0.,; 6 level:, Driving eastward on the main reef is being continued, and is now in a distance of 59ft from the Mary Ann crosscut. The reef here is about Bft in width, and is still of low value. The leading stope on the main reef under the run is now being carried around on the footwall dropper, but as yet we are not into where the gold was seen in this dropper. The crosscut from the main shaft to pick up the main reef west is in a distance of 68ft. The country. is a little easier, and betteri progress is being made. Cure reef: Driving west on this reef has had to be discontinued temporarily, owing i to the large quantity of gas being emitted from the face, and in order to improve the ventilation I have started: the men to "put up a rise to No. 5 level. In the second stope on this reef west of the crosscut we continue to occasionally see good dabs of gold, and during the week 41b of picked stone have been selected, the reef here being about 2ft in width. No. 5 level: Going east on the main reef little has been done, as the men have been engaged in breaking out all the quartz where the first rubbly break was met, so as to permit the drive being timbered up. This work is now completed, and work in the face again resumed. Driving east on the footwall branch has been continued. The leader during the week, although small, has shown some good colours of gold, and has now opened out again to about 2ft in width. This drive is now in a distance of 75ft. Driving west on the main ' reef in the fourth crosscut is in progress, and is now in a distance of 50ft. The reef is carrying a good deal of silica, and the quartz has a kindly appearance, but no gold has been seen. Driving west on the Cure reef is being continued, and is in a distance of 23ft. The reef is about a foot in width, and is still of a puggy nature. The rise from the back of the leading stope on the main reef is up a distance of 31ft. The rise from the back of the second stope west has holed through to No. 4level. The third stope west of No. I rise is also in progress, and is pro- , ducing a good quantity of crushing dirt. i The filling in of the fourth stope east to No. 2 winze having been completed, a fifth stope east from No. l a winze was started on Saturday morning,"and 1501b of picked stone were selected. No. 4 level: Work here is confined •to the stopes west of No. 1 winze. In the sixth stope, which is now 60ft west of this winze, the hangingwall portion has shown good dabs of gold, 251b of picked stone having been selected from hero during the week. The other stopes west of this are producing ii good quantity of crushing dirt. DREDGING. [by telegraph.— ASSOCIATION.] : Dunedik, Monday. During the week ended to-day, returns ' were reported from 40 dredges," the total yield being 11'730z lldwt sgr, or an average of *290z per dredge. ■ MINE MANAGERS' REPORTS. Waitangi (October 6): During the past week the eastern drive has been extended 6ft. The country in the face is of the best description, and on the hangingwall of the reef we have cut a small leader, showing gold. It is running parallel with the reef. The low level drive, has been extended 7ft, making 34ft.; The- country is l 'of a favourable character and full of mineral veins. Southern Queen (October 6): During the past i week the leading «tope over the drive has been carried along on the Blue reef . for ' 20ft, and the reef formation has been broken down for that, distance. While breaking down the quartz colours of gold were seen in it. and • a couple of pounds of picked stone were secured. 1 The quartz coming to hand is of a kindly appearance for carrying gold, and mineral of a favourable cln.sss is freely distributed through the stone. The country through'which the lode is passing continues of a favourable class. . New Occidental (October 6): The new drive has, been advanced several feet in good country for progress. Halcyon (October 6): Twelve feet have been driven east on the line of reef, progress having " been retarded somewhat owing to a large break crossing the lode at a long angle and disturbing ; it considerably. The reef is much smaller now .' and composed of white rubbly,-. quart*, but there are indications of a better class of country coming in at the face from the hangingwall side. New Dart. (October 5): The drive has been extended 21ft for the week, and the country - is about the same class as when last reported, , but rather harder for progress. We are now bearing off to the left, or in a northerly direction, and should at any time pick. up a reef that good payable gold was' got from at the creek level. Golden Bell, (October 4): At No. 2 level the. No. 1 stope south has' been extended lift for the week, making 72ft from the main pas?. The reef in tills slope is about 3ft iwide and of good value. The , No. 4 stope south is now looking very well. The ore is about 12ft wide, and during' the week a few pounds of picked stone were selected from the are broken, No*. 1 ; and 3 stopes '■ north have been in progress, and a fair amount of payable ore is coming hand from them.' There" is no change in the low level drive, which has been carried 191 ft"; north from the main crosscut. Since the clean-up the battery has crushed five days and a-hnlt' for 2fi7oz (if hotwater squeezed amalgam. Moanataiari Extended, (October 6): We are driving east and sinking a winze on the break met with in the western drive. In the east drive, - which is in 50ft, we have again cut through the reef and proved it; to be 10ft. thick.' The best portion is confined to about 3ft of the hangingwall, and although no gold has been seen here during the week the quartz hue a very , kindly, appearance. \ , \ •_ ,