Parliamentary Jottings.

Poverty Bay Herald, Volume XVIII, Issue 6143, 15 August 1891, Page 3

Parliamentary Jottings.

(from our own correspondent.) exemption of improvements. Wellington, Tuesday. The Premier thought they should not make any alteration in the Bill in respect of improvements, for if they did what Mr Shera proposed, exempt all improvements, it would mean a very large loss to the revenue. The L3OOO limit was a very liberal oxemption he thought. He pro posed to strike out the proviso that im • provements must have been effected more than ten years prior to assessment. — Sir George Grey asked the House to put the tax upon tho land, and not upon improvements.—Mr Guinness said for a small sum of money they should not givo up the great principle they had been fighting for for many years, that improvements should ba exempt. —"lf we overtax the towns we shall do no harm, (laughter) but if we overtax the country, we shall ruin botli town and country " said Mr Saunders in favoring the exemption of agricultural improvements. He moved that the limit of L3OOO shall not apply to factories, fixed machinery, farm buildings, fencing, planting, fertilising, draining or irrigation, clearing timber, scrub, or fern, laying down in grass for pasture, or any other improvements for agricultural or horticultural development. irir George Grey said they should put the tax on the towns rather than upon the land. They should tax the unearned increment. Rather than tax the improvements, they should devote revenue to reduction of postage—they could easily make up the revenue which would be lost by the exemptions, and tho small farmers would not object to increased taxation if only a pure laud tax wero brought in. Mr Fish said it would imperil tho finances of Government, and let; them pass the clause and wait for a year till the Government got certain returns in.—Sir George said he had made a calculation, and found the oxemption on improvements could well be afforded. Government, he trusted, would yield and pass a land tax, instead of a property tax as proposed. TAXATION BILL IN COMMITTEE. Mr Fisher supported the amendment, and said those people who had educated the people to a land and income tax now said such a tax was inconvenient, aud that it would not provide the necessary revenue. If it would not, let them who had advocated these views bear the responsibility. He said at tho commencement of the debate on the Bill that the measure was simply an inverted property tax. If they were landed in a difficulty it rested with members who had brought them now to it. He had been assailed for not sup porting a Bill which bore a title of a land tax Bill, but ho said it was uot what it purported to be. Now, the Premier and those who supported the Bill said it would imperil the revenue to bring down a land tax pure and simple, and " You ought to allow us to continue the property tax." The Premier was on the horns of a dilemma. He was glad to be able to vote for Mr Shcra's am«ndmenb. The Hon. Mr Reeves said, as regards a land tax pure and simple, let the members for country districts think of its effects, it meant not n halfpenny of relief to the small farmers, nor to the men up to about LIO.OOO, but increased taxation. Government would lose LIOO.OOO if the resolution were carried, and taxation would be placed on the bulk of the farmers, for LSOO exemption would have to be abolished. They could not for tho sake of the theory imperil the revenue. Mr T. Thompson said what the country wanted was not Mr Saunders' proposal, but Sir George Givy's. The objections they held to the property tax was that it was a tax on thrift and industry, as it taxed improvements. Judging by the Minister of Education's remarKs, he felt that they were not going to go fast in the direction they wished to travel. He fek in a difficulty. He was bound to go into the lobby with Sir George, but did not •wish to place the Government in a difficulty. Mr Houston said he was not afraid to vote against Sir Geo. Grey's motion because the Government proposals would relieve all the small farmers who were entitled to exemption. Mr Fish said the Government had to expecfe loyalty from their supporters. Sir George said he and every other Liberal were returned to get a pure land tax for the good of all the people. It had been laid down that every member should follow, blindly a party voting against that which they believed in their hearts to ba wrong. They should not vote contrary to the principles for which they were returned. Why not struggle to the last ? Why not force tho Government to give that which they were entitled to. Government was responsible for a crime if it was a crime to ask them to agree to a tax which was not a land tax. They ought to bo in the front of the battle and lead the other colonies and the world to this pure land tax, and if they turned their backs and refused to take that which they could get they wore arrant cowards. He would strive to his death for that to which they were entitled. They could obtain sufficient funds, and the possibility was within their power. It was a vain excuse to say that there was not the funds to do it. If the Government refused to do it let them retire, aud let a coalition Ministry be formed which would carry a land tax. This unearned increment was the property of the peeple of New Zealand at large, and it should provide the revenue. Nothing but the hope that they had a man who would bring in a land tax induced him to stand for Newton again, and " Now I Btand hopeless, grieved, feeling that those who might have saved their country, saved their fellow men by the stand they might have taken, and the example they would set to the rest of the world, have not done so by walking into th© lobbies with those who will not carry oub the plodgesto which they are bound." Mr E. M. Smith said, notwithstanding the eloquence of Sir Georgo, it was noc a going to lure him away. They could afterwards take off all exemption if the revenue could stand it. At the elections he was asked who he would support, but he answered that that was not the question ; it was, " Who is going to support me?" (Laughter.) Mr Hogg said there should bo no traitors in their camp—no rats in their party. If thero was ever a time the Liberal party should Btand together behind a Liberal Ministry—even at the sacrifice of principle for a moment—it was at the present time. He was pledged to do away with the property tax and have a land tax, but he believed in the Government and would follow them. Mr T. McKenzie said it was entertaining to hear the hon. member and see him swallow the Government pill. Tho tax proposed was simply the property lax under a new name, and under a worse form. (Sir G. Grey: Hear, hear.) Let Mr Hogg study the question a little rather than ranfc about the great Liberal party, and he would be a more esteemed member of feh© House. Govornmerfc desired tc tax the country for tha sake of the towns. Tho Premier ifiid Mp Shera's motior would let the large settlers off and place the burden on the small settlers. Th< hon. member for Newton wanted to go i little faster than Government, but Govern ments wanked to know where they wen with regard to valuations before they tool th§ definite stop. They could not sa: definitely the valuations were correct, bu if they found themselves in the positioi to do so they could with a stroke of the pei ,< exempt improvements. Sir George Gre; was going to relieve large landowners am impose burdens on the small farmers. Mr Shera's motion went to a division

and was lost by 35 to 23.

Mr Saundors then moved his amendment, which was lost by 26 to 31. Considerable dissatisfaction was expressed against* the words ''visible or unexhausted" in regard to exempted improvements. The proviso that improvements must be ten years effected was | 'struck out. SHOULD MAORI LAND BE TAXEP ? Mr G. Hutchison moved that Maori land be excluded from the exemption. ! Mr Ballance said he could not accept I the amendment.. Many Maoris were exceedingly poor, receiving no rents for their land, and would be quite unable to pay the tax. Mr E, M. Smith supported the amendment, saying Maoris who had Crown grants should be taxed. Local bodies were pub to great expense in keeping roads which the Natives used. The Hon. Mr Seddon said it might be right that the Natives should come undsr the Rating Act. Captain Russell supported the amendment. It was stated by the Premier the land was unproductive. It was an argument that they should tax them if they affirmed the principle that land should not lie idle. Mr Bryco said very likely the Act might be inoperative for some time, but he should like to sec an approach made in the matter— the placing of Natives on the same footing as Europeans. There was nothing theoretically unjust in making the taxation, but as tho rates could not be paid an approach should be made in the matter as regards Natives with large and valuable properties. Mr Hutchison said that if the words Maori land were struck out it would leave the taxation as Mr Bryee and the Premier •wished, for the land would only be taxed at its value in fee simple in freehold. Mr Carroll said speaking for himself he quitesytnpathised with the gentlemen who had spoken of affirming the principle, bub he could not think it right to carry the amendment. There were many difficulties, not only by the fact that the land's ownership had not been ascertained, but where the land had not been subdivided, for it was not fair to tax Natives who had not freehold rights over their own separate pieces. The law had stood in the wuy of allowing Natives to dispose and make productive use of their land, and wherein these restrictions were removed and the Maori had a title in fee simple, let him be liable to all the taxation. But it could not be done in one stroke, ami if both sides of the House would exclude all party feeling something might be done to benefit the Maoris, who now saw tho benefits to be derived from holding their lands as Europeans. Mi* Buchanan said tho remarks of Mr Carroll must command themselves to iho good sense of the House. Tho Natives placed bars in their own progress by contending so much with one another. Tke Chairman (Mr Perceval) ruled the amendment out of order, as it was imposing new taxation.