CHAIN STORES

Southland Times, Issue 22992, 11 September 1936, Page 6

CHAIN STORES

EFFECT OF PENAL TAXATION SUM OF £63,000,000 FROM ONE FIRM (United Press Association.) Wellington, September 10. Yesterday when Mr J. D. Mcßobie, of Blenheim, gave evidence in support of a petition to Parliament from that town, he suggested legislation for the control of chain stores by penal taxation, and when his cross-examination was continued before the Industries and Commerce Committee of tire House of Representatives to-day cases were quoted to show what these taxes would amount to. One counsel stated that the D.1.C., with 12 stores, would have to pay £63,000,000 a year on the first tax, and if the second had to be paid, the whole amount would be £330,000,000. Counsel also quoted the case of a small store that w’ould be taxed heavily for not giving complete service to any trade. Mr J. Hodgens (Lab., Palmerston North) presided, and after the crossexamination was completed, he stated that the committee would adjourn until next Wednesday, when evidence could be brought by other - parties interested. Legislation Sought. The petitioners who started the inquiry are seeking legislation to checK the spread of the chain store system, alleging that the system is not in the best interests of the community generally. When the hearing of evidence was proceeding to-day, Mr A. D. Wylie, who spoke on behalf of another group of petitioners, who, it is understood, is presenting a petition to the House today, said that he would have a statement to make that would occupy two days. After that was made he did not think it would be necessary to call further evidence. Mr C. R. Petrie (Lab., Hauraki) said that he thought expert witnesses should be present to give the committee all the information possible. At the request of the chairman, Mr Wylie undertook to supply copies of his statement and the inquiry was adjourned until next Wednesday.