TAXATION AND RATES.

New Zealand Herald, Volume LXII, Issue 19072, 17 July 1925, Page 10

TAXATION AND RATES.

UNFAIR APPORTIONMENT.

PETROL TAX ADVOCATED

[BY TELEGRAPH. —OWN CORRESPONDENT.] HAMILTON, Thursday.

Introducing the question of heavy traffic taxation Mr. G. A. Stanton, who presided over the conference of South Auckland local bodies, said it was one that vitally affected the ratepayers. The responsibility of making, repairing and maintaining the roads was still the burden of " the inau on the land, and tho time had come when it should be considered whether the principle of depending solely on the primary producer was wise, just and equitable. The speaker dealt with tho amount that could be expected from motors toward the cost ot tho roads and highways throughout New Zealand. He quoted a statement mado by tho Minister for Internal Affairs in which he said that although the revenue from tho 104,502 motor vehicles registered and licensed was £293,496, only £200,000 would bo available annually for payment to tho Main Highways Board when tho cost of collection had been deducted, 'lhe tyre tax was estimated to give a further £25,00 to the board, making a total of £225,000. From figures published it appeared that local bodies would receive about £175,000 from the traffic licenses and drivers licenses allotted to them. On the assumption tliat counties would be entitled to two-thirds of the heavy traffic fees and one-third of tho drivers' licenses their revenue per mile per annum would work out at £3. This, said Mr. Stariton, was utterly inadequate to pay a reasonable share toward roads for tho whole of the people of the Dominion to run over. In .1924 tho total revenue collected by the counties was £2,115,117, tho amount derived from rates being £1,675.356. It was this latter amount that tho country ratepayers was paying to provide and maintain the roads of tho Dominion, while motorists paid only £IOO,OOO. Tho actual users of tho roads were not paying their proper quota toward the cost. Mr. Stanton advocated the introduction of a petrol tax, with tho stipulation that the proceeds should be paid to local bodies for division on a clearly defined basis. The conference decided to endorse the principle of tho petrol tax as a means of obtaining additional revenue from motor vehicles for tho purpose of affording relief to the ratepayers in town and country, and that any revenue so collected be apportioned to local bodies on a mileage basis.

It was decided to urge on the Government the need for the alteration of tlio Main Highways Act to provide for contributions by all highway boards toward the cost of constructing and maintaining the highways- of not less than 50 per cent, and up to 100 per cent, as ..circumstances warrant*,