REBATE OF RATES

New Zealand Herald, Volume LXXI, Issue 21951, 7 November 1934, Page 17

REBATE OF RATES

Sir, —Surely the attitude of JSlr. W. O'Callagan, president of the North Island Motor Union, is one of pure unadulterated selfishness in opposing a rebate of 12$ per rent on rural rates, which is only a very belated attempt on the part of the Government to return to tlio farmer a small portion of the unjust tax which he has been paying for some years. Mr. O'Callagan's conception of the whole position is to mv mind an extremely narrow one indeed and his "deep concern that the gift to county ratepayers is to be a charge on motor taxpayers" is quite contrary to the statement made by the Hon. J. G. Coates, who said, that "the amount of the rebate would be paid out of that portion of petrol tax which is at-pres-ent paid' into the Consolidated Fund." There is no proposal to further tax the motorist and all fair-minded motorists should be only too pleased to see some small relief granted to the people who have been paying the bulk of maintenance and construction costs of all roads. There is no "gift" at all about the proposed rebate, unless it be a "gift" to return to the farmers a small proportion of money that has been unjustly collected from them. The time has surely come when the "user of the road should pay for the road" and the only thing that is wrong with present motor taxation is that it is, in part, being illegitimately used by the Government by paying it into the Consolidated Fund instead of allowing the whole amount to go to road maintenance and cut out rural rates entirely. At the present time the county ratepayer pays an equal amount of motor taxation with Mr. O'Callagan and his associates and in addition pays his rates, which may quadruple his motor taxation. Total derating of farm lands for roading purposes is well overdue and will be a vital question in all rural electorates at the next election. Clevedon. C. H. Mellsop.

Sir, —It is so seldom J. find myself in disagreement with your sentiments expressed editorially, that 1 was the more surprised wheu I read the subleader iu your issue of Monday relative to the proposed rating relief. Iu the first place, the principle that "users should pay" has not been given ii fair run where roads are concerned. Users are undoubtedly paying in this respect, but thousands of pounds levied from this one class, for a specific purpose, are deliberately diverted to the Consolidated Fund. If this misappropriation did not take place, there would have been no suggestion of making a rebate —really, a partial restitution—to ratepayers. It surely cannot bo contended, on any sound grounds, that it is right and proper that a motorist—as such—should contribute more than any other person to the cost of running this Dominion. The cost of construction and maintenance of roads should be borno by those who use them, or who profit indirectly by them; which means that the bulk of the money required should be found by motor-users, and the balance by the counties —not a large sum —-so that the owners of stock travelling on the hoof, and users of one-man blind roads, or of roads of only local importance, may pay their share. In the meantime, till this comes to pass, by all means let the Government grant the proposed rebate, open to criticism though it may bo in its application. Jn this connection it is well to remember that it does not follow that the men who need this help most, deserve it most. Farmers get into difficulties for a variety of reasons. lApart altogether from the point J have tried to make, that any rebate will be merely partial restitution of a misappropriation, it must not be forgotten in discussing the relative claims of dairy farmers and sheep men, that the latter were in difficulties before the former, and that last year's spasmodic rise in wool values has not been maintained and, in any case, was sufficient only to make up a small part of a very big leeway. Dairy farmers, too, havo had their good years. In conclusion, I submit there would have been no occasion to discuss the propriety of differentiating between dairy farmers, sheep men, and wheat growers, if there had not been a fundamental injustice done when the Government raided a fund which was originally instituted and raised for a specific and commendable purpose. No local ,bodv would have been able to do such a thing. Walter Sis-will. Hamilton.