PARLIAMENT

New Zealand Herald, Volume LXX, Issue 21411, 8 February 1933, Page 11

PARLIAMENT

DAY'S DULL DEBATING the small farms bill CUSTOMS RESOLUTIONS SALES LEViY AND TAXES POSSIBLE THIS EVENING [by" telegraph—special reporter] WELLINGTON, Tuesday 'A day of dull debating on the second reading of the Small Farms Bill in the House of Representatives to-day provided a striking contrast with last week's proceedings, when the fate of the Government was almost in doubt as a result of sharp differences of opinion arising out of the high exchange decision. A'very full explanation of the scheme for extending the policy of settling suitable unemployed on small farms was given by the Minister of Finance, the Rt. Hon. J. G. Coates, in moving the second reading of the bill. The measure was circulated immediately prior to the adjournment of the House on December 9, so that members had had almost two months to study its contents. Questions which were addressed to Mr. Coates during his speech indicated that Labour members hold the suspicion that theraJs a likelihood of the scheme making s heavy drain on the main Unemployment Fund through the necessity for giving sustenance and rent assistance to new settlers, until they make their lands selfsupporting. It was pointed out by Mr. Coates that a capital fund of £500,000 had been set aside for- the land settlement of unemployed, but 'he admitted that some call would have to be made on the Unemployment Fund. However, he gave an assurance that the position would be closely watched. A somewhat lukewarm reception was accorded the bill by Labour speakers, but nothing was said t6 indicate that it is likely to undergo any substantial alteration in Cpmmittee. The House rose shortly after 11 p.m., with the second reading debate still not concluded.

Members are again growing restless as it becomes apparent that the Governmebt's urgent policy measures are not yet ready. However, the Prime Minister, the Kt. Hon. G. W. Forbes, and Mr. Coates conferred on the subject this evening, and although no confirmation can be obtained from official sources, it is thought probable that the customs resolutions and taxing bills, including the sales tax proposal, will appear this week, possibly to-morrow evening.

BANKS INDEMNITY BILL MEASURE BEFORE COUNCIL FIRST READING FORMALITY [by TELEGRAPH —PRESS ASSOCIATION] WELLINGTON, Tuesday The Banks Indemnity (Exchange) Bill was received by the Legislative Council from the H6use of Representatives to-day. It was read a first time. The Council adjourned until to-morrow. DUTY ON BRITISH GOODS AD VALOREM ASSESSMENT PRESENT METHOD CONTINUES [by telegraph—press association] "WELLINGTON, Tuesday In a question in the House of Representatives to-day, Mr. A. Harris (Government —Waitemata) asked whether in view of the increase in the exchange rate, the future assessment of ad valorem duty on British goods entered for home consumption was to remain on parity with exchange as formerly. The Minister of Customs, Mr. Coates, laid it was not proposed to make any alteration in the existing practice. EXPORT TAX REJECTED BY GOVERNMENT MEMBER URGES IMPOSITION [BT TELEGRAPH —SPECIAL REPORTER] WELLINGTON. Tuesday The imposition of an export tax had been carefully considered by the Government, but was not considered advisable, said the Minister of Finance, Mr. Coates, in reply to an urgent question asked by Mr. J., Hargest (Government —Invercargill) in tho House of Representatives today. Mr. Hargest asked whether when tho Minister was bringing down his taxation proposals would he seriously consider imposing an export tax of at least 2 per cent on all produce exported from the country. "In view of the fact that exporting industries have obtained definite relief amounting to 25 per cent, thpy should not object to the imposition of such a tax, which would partially reimburse tho Treasury for any possible loss that tho indemnity to the banks may occasion," said Mr. Hargest. "City dwellers can rea-sonably expect the exporter to stand his share of inevitable taxation."

Mr. Hargest, it may be stated, took a prominent part in urging the Cabinet to raise the exchange rate.

NEW GUARD RUMOURS BRANCHES IN DOMINION MINISTER without knowledge \ [by telegraph—press association] WELLINGTON, Tuesday A question whether it was true that branches of the New Guard were being formed in New Zealand was asked in the House to-day by Mr. F. W. Schramm (Labour—Auckland East). Mr. Schramm asked if this were so, what steps were being taken to suppress such an illegal organisation. The Minister of Justice, the Hon. J. G. Cobbe, said the department had no information of the establishment of branches in tbe Dominion.