THE BATTLE OF THE BUDGET

Taranaki Daily News, Volume LII, Issue 172, 13 August 1909, Page 2

THE BATTLE OF THE BUDGET

.VALUING OF LAND. A VEHEMENT SPEECH. By Cable—Press Association.—Copy ngn„ London, August 11. Uuring the Budget debute ill iliu House of Commons, the Opposition aui-1 1 phasised the (iovcriiiiient's i.nisa] to ful- u lil its' promise with respect to existing 1 \ ,contracts,>'i»iasinuch as - it defeated u I amendment which proposed to levy all tux' on undeveloped land'only after its i sule, lease, or transfer. Mr. Balfour, Leader of the Opposition, : urged that if a land owner reiused a i linn oiler from a responsible buyer, , tliere would be a jiolid basis to go up but it would be the basis of rating him upon the annual value of the sum refused, not for singling him out as the subject of an anomalous tax on capital. He added vehemently: "This is. not a tax for getting: money, but for getting votes because it is believed the t<ix will only atl'ect the few, leaving the many untouched. The Government is dealing the greatest blow ever aimed at our national traditions of linance." Air. Asi|iiith, Premier, in reply, cm- , phasised the growth of towns and th , increased demand for building sites. The clause was adopted, the voting • being: For the clause 223, against 119. The (iovcrnment gave notice of all I amendment substituting a tax on mining . royalties for a tax on ungotteii minert als; also another providing for thi - valuation of land and buildings at the t expense of the State, with an option, to • the owner to make a valuation.

THE COST OF VALUATION.

GOVERNMENT'S REMARKABLE CHANGE OP FRONT."

Received 12. 11.15 p.m. London, August 12. | In the House of Commons, the financial resolution authorising payment, out of public money, of the expenses of valuing land or premises for new land duties, was carried by 217 to 08. Mr. Asquith estimated the valuation could he done by 500 officials at a cost of two millions and the valuation would be completed in four years. The cost during the first year would be £300,000, and yield an increase in taxes from reversion duty on the undeveloped hind of £325,000 for the first year. The new tax providing an annual duty of 5 per cent on mineral rents, was estimated to yield £350,000. Mr. Ans'tin Chamberlain, in a vigorous speech, emphasised the Government's remarkable change of front and its, tardy recognition that the case against the "former unworkable proposals could r.ot lie, met. The Government had been compelled lo re-casl the I'.udg't 'and make a new Bndgct «pecch in August, 'the Opposition's complaint from the outset of the injustice eausVd by rei|uiring landowners to pay for valuation had been justified, but the new [dan, which ■ was an admission of defeat, would not | allay the opposition to the-Budget.

The proposed taxation is'as l'ollowi-:-1. An increment value ilutv of 20 pe cent.

2. On any sale of land or grant of any lease not less than seven years; I 1). On the death of anv owner of land. c. Every fifteen years on the land held by any corporate liody, equivalent to l'/> per cent, per anutiin. 2 A reversion-duty of 10 per cent, on the determination of any lease of land. 3. An annual Undeveloped Land Duty of VM in the £ on Hie site value where the site value is over £3O per acre, equivalent to 4s 2d per £IOO. 4. A duty of >/„d in the £ on the capital value of unworked minerals. 5. A double stamp -duty "n conveyances or transfers of land.