METHODS OF RATING.

New Zealand Herald, Volume LXIV, Issue 19627, 4 May 1927, Page 12

METHODS OF RATING.

MOUNT . ROSKiLL NSSUE. ADDRESS BY MR. P. J. O'REGAN. An address on the system of rating on unimproved values was given by Mr. P. ,7. O'Rogan. of Wellington, at a meeting of Mount Roskiil ratepayers held in the Methodist Hall, Greenwood's Corner, last evening. The hall was crowded, and the speaker received an attentive hearing. Mr. P. J. Sc-fton presided. Mr. O'Rogan.said the absurditv of the present system of rating on improved values could le seen when it, was realised that in order to pav the minimum xates a ratepayer should do nothing toward improving his property. Directly lie commenced improvements his rates increased, and lie was taxed automatically in proportion to his industry. The value of land under the nresent svstein was taxed without reference to the,, fundamental difference between unimproved, or 'communiiv-created value, nnd the value resulting from the labour and industry of the owner, which found expression in what was generally termed improvements. Rating on the unimproved values, stated the speaker, had been adopted in 75 out of 118 boroughs in. the Dominion, and in 53 out of 122 counties. Although tho law provided for a rescinding poll on the question every three years, if desired. there had so far been only 15 such polls, and only fo'tir had succeeded. Tho total revenue raised hv taxation by local bodies in New Zealand amounted to . £5,000.000 annually, and this amount was constantly growing. It would be a great advance if tho whole of this taxation were levied on the unimproved value of land. In conclusion, the speaker stated that speculation in land could be prevented only by the proper use of the power of taxation, and urged his herrors to vot« jfor the new system of rating at the poll -to be. held on Saturday. A large number of questions were jiiiswered, and the meeting concluded with fo* Kparfaf rota of. thanks to the £jpksaker.