GOODWILL AND RENTAL.
"THE LAW NEEDS AMENDING." [BX telegraph.—special correspondent.] Wellington, Friday. Complaint was made by Mr. A. S. Malcolm, member for Clutha, in the House of Representatives to-day, relative to the operation of taxing department in regard to goodwill and trade. Mr. Malcolm said a man could buy the goodwill, of .a lease which was to expire in three years for £1200, but "the Commissioner of Taxes maintained thai the £400 a year, which was really equivalent to rental and was part of his expenses, was not deductible from his taxable income. . , : .The. Prime Minister .in reply said, that in such a case £2000 had been paid for goodwill for three years and then ceased. There was no way in which one could call goodwill rental. The £2000 might be converted into rental, but it was not possible to make any concession. The question had been raised in the law court and; the judgment was entirely in favour of the Department. Similar decisions had been given in England. ' Mr. Malcolm: . Then the law needs amending. ■ ■
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New Zealand Herald, Volume XLVII, Issue 14525, 12 November 1910, Page 7
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176GOODWILL AND RENTAL. New Zealand Herald, Volume XLVII, Issue 14525, 12 November 1910, Page 7
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