VALUATION OF LAND.

New Zealand Herald, Volume LXVII, Issue 20593, 18 June 1930, Page 13

VALUATION OF LAND.

PROPOSALS OF FARMERS.

UNIFORM SYSTEM SUGGESTED.

PRESENT METHODS CRITICISED.

[BY TELEGRAPH.—• PRESS ASSOCIATION.] WELLINGTON, Tuesday. Important proposals regarding land valuation were submitted by a special committee to the New Zealand Farmers' Union Some amendments were proposed and these are to be discussed with the Valuer-General before the report and recommendations are finally disposed of The recommendations of the committee were as follows:—(1) That present methods of land valuation should be replaced by a uniform system, inasmuch as land tax and all local taxation are based on the valuation. If the assessment of a valuation : be erroneous or inequitable, then such unfairness is reflected in the assessment of local taxation.

(2) That the Valuer-General be asked to convene a conference during the winter of all Government valuers in order to lay down a uniform method of assessing land values. This conference should be convened at least once every five years.

Basis o! Valuation. (3) That the basis of valuation be (a) in the main the productive value or carrying capacity of the land under average capable management. In assessing productive values and carrying capacities, the average of a period of ten years should be used, (b) The proximity of farms to ports, towns and townships, markets, railways, schools and dairy factories, (c) Special consideration should be given to rates, including special rates borne by each particular property valued. (4) That the valuation of the Lands Department and the Valuation Department be brought into line by putting into practice the basis decided upon by the conference of valuers.

(5) That local authorities in a district bo asked to nominate a local representative, preferably a farmer, to act in conjunction with the local Government valuer in assessing land values. (6) That a valuation of the farm lands of the Dominion should be completed at least once every ten years.

(7) That income tax should be the only source of taxation, but that in the case of the farming community, exemptions should be made for the labour of members of the family engaged in farming. Opinion ol Members.

The differences in the methods of land valuation were mentioned by several speakers, who emphasised the need for uniform valuation throughout the Dominion. Mr. H. M. Rushworth, M.P.' (Opua), said that production costs were a vital consideration. A farm might produce £IOOO worth of produce, but the cost of production might also be high. Management, insurances, building construction and labour costs were all part of costs of an average farm, and had to be taken into consideration in order to arrive at the net annual valuation. As several amendments to the recommendations were proposed, it was decided to defer further consideration until the committee had conferred with the ValuerGeneral.