GRADUATED LAND TAX

Otago Daily Times, Issue 22957, 12 August 1936, Page 7

GRADUATED LAND TAX

REINTRODUCTION DEFENDED BASED ON MORAL PRINCIPLE (From Our Parliamentary Reporter) WELLINGTON, August 11. The opinion that the re-imposition of the graduated land tax would no more affect the average working farmer adversely than its removal in 1931 benefited him was expressed by Mr J. Thorn (Govt, Thames) during his speech in the Financial Debate tonight. Mr Thorn said there was hardly a taxpayer who would suffer the slightest injury from the Budget proposals and certainly none with - incomes of £4OO a year and more would have to give up any luxury that was at present being enjoyed. If any person attempted to grumble about the new taxation he should remember that during the depression many a man returned to his family with £1 or 30s as the only income with which to buy food and clothing and to provide shelter. Instead of grumbling those whom the Budget taxation affected should be thankful for their good fortune. “ I will say this for the taxpayers, continued Mr Thorn, “that they are taking the new taxation in a reasonable and generous spirit, and as far as I am concerned I have not heard one complaint from an individual or a company taxpayer in the Thames electorate.”

Reverting to the land tax, Mr Thorn said it had been removed only to assist the wealthy farmer. Sir Alfred Ransom (Opposition, Pahiatua): There are plenty of people paying land tax who are not wealthy. “The reimposition of the graduated land tax will not put the great majority of working farmers under any obligation to pay the tax,” Mr Thorn said. "In fact, I question whether the small working farmers of the Dominion will ever be called on to pay income taxation under the terms of this Budget. Taxation of this sort is not merely the material act of transferring money from one section of the community to the other. In its essence it is a moral issue. What we should remember is the biblical truth, which is the literal truth, that we are ‘members one with another’ and that it is not good manners for a lady and gentleman to hang on to money while their kith and kin lack the necessaries of life. On material and moral grounds these proposals in the Budget are amply justified. “This Budget is a step in the direction in which I have aiming during the whole of my political fife,” Mr Thorn concluded. “ That is the realisation of a Socialist co-operative society, and I am satisfied that before many months have passed tens of thousands of people in New Zealand will rise up and call blessed the Government responsible for this Budget.”