TAXATION PROPOSALS

Taranaki Daily News, 22 August 1930, Page 9

TAXATION PROPOSALS

EXPLANATION OF THE BILLS. NO DEPARTURE FROM BUDGET. (By Wire-Parliamentary Reporter.) Wellington, Aug. 20. The land and income tax proposals of the Government made their appearance in the House to-night by GovernorGeneral’s message. They contain no departures from the annual taxing measures and the amending proposals forecast in the Budget. The land ta# is a penny in £1 where the unimproved value on which the tax is payable does not exceed £lOOO, and it is increased By one-twenty-thousandth of a penny for every £1 in excess of £lOOO, but so as not to exceed the rate of 7 17-20 ths of a penny in £l. Income tax is increased by 10 per cent. The Land and Income Tax Amendment Bill mukes provision for the repeal of the super land tax imposed last year. Pensions granted in respect to the South African War are to bo . exempt from taxation. Power is given to the Commissioner of Taxes to make deductions in respect to the depreciation of premises where it is shown it ift not possible to repair them. Special provisions are included in respect to insurance companies, and it is laid down that for the purpose of income tax the Government Life Insurance Office is to be a company carrying- on in New Zealand the business ..-f life insurance and assessable and chargeable with income tux. Outlining the provisions of the Bill, the Hon. G. W.‘ Forbes said he had not found it necessary to inctease the amount levied in income tax. ' At one time he had thought the increase would be necessary in order tn make up the deficiencies in the revenue, but since then h. had had a consultation with the Treasury and it had been decided to take a sporting chance.