“PETROL PRICE SCANDAL"

Taranaki Daily News, 14 February 1933, Page 9

“PETROL PRICE SCANDAL"

“TIME GOVERNMENT WOKE” MR. W. J. POLSON AT HAWERA. ■ FARMERS’ UNION POLICY. . CENTRAL BANKING AND SALES TAX Sympathy with motorists as a class was expressed by Mr. W. J. Polson, MJP., last night at a meeting in the winter show buildings, Hawera. He revealed astounding figures relative to the cost of petrol in New Zealand to-day. The actual contract price was IJd a,gallon, which with charges of various natures made the total landed cost 3d. The tax on this was'lljd and an extra 3d was allowed to petrol, pump proprietors for distribution within 10 m,iles,« making the total cost approximately Is 'fid. The actual retail price was 2s 4d at Wellington to-day. Mr. Polson said he was . bound to express some dissatisfaction. “I believe it is time the Government woke up to the position,” Mr. Polson said, “and demanded that only a reasonable profit should be made.” • , ? Mr. Polson spent the greater part of his time explaining the exchange question, analysing at some length the recent developments in the House of Representatives. - The sales tax, Mr. Polson said, was no new thing. In many countries it was in regular times a normal method of obtaining revenue. Admittedly it would put up the cost of goods, but every tax did that There were £6,000,u00 to be got from somewhere, and the sales tax would, realise about one-third of that amount. “What a howl there has been/’;* Mr. Polson said, “and incidentally what a howl there will be when the total taxing ' schemes of the Government are brought into force. : Everyone had to pay the sales tax and no better scheme had been propounded. Mr. Polson thought some new schemes of taxation should be resorted to; particularly municipal bodies and power boards should be made to bear their share of . rates and.taxes. Mr. Polson discussed the central bank at some length. ? h “When we have inflation we must need a central banking system, but not,” he added, “on the plan of Sir Otto Niemeyer, whose ideas would link us inevitably to a chain of capitalist banks in other parts of the world.” . { Mr. Polson considered New Zealand banks should be directed by and entirely in the hand of the people of New: Zealand. Furthermore he was of opinion that the mass of gold at present in New Zealand banks should be in the hands of the people at its present market value. ■ • Answering several questions, Mr. Polson said the exemption of sales tax from raw leaf tobacco would tend to provide employment for New Zealand workers in preparing the raw material for consumption. Mr. W. G. Simpson asked Mr. Polson to reconcile his statement that ons country ” such as New Zealand could da nothing to improve world economic conditions with his statement that Sir Otto’s idea of a central bank would be detrimental to the best interests of the f country. ' Mr. Polson could not see any inconsistency. ' ‘ Mr. H. D. Dickie, M.P.. asked Mr. Polson whether the £7,000,000 which had* just come into the country from Australia ■Would have to be bought again at . £125 in London. Mr. Polson replied that there would be no need to do that with the present system of inflation. In reply to a question Mr. Polson outlined the policy of the Farmers’ Union in taking part in politics. It had been decided by the union that a coalition of moderate forces was the only possible Government and - in furtherance, of 5 that r conception he was taking a leading.part-; > in the ‘present legislation. ' ' The meeting was presided over , ; by Mr.. E. J. Betts, president of the South naki executive of the union, At fti* conclusion a vote of thanks was accorded the speaker./- - z , _ ;