MINERAL AND TIMBER LAND.

Taranaki Herald, Volume LIV, Issue 13480, 20 July 1907, Page 5

MINERAL AND TIMBER LAND.

No land tax whether ordinary or graduated shall be assessed or payable in respect of tho value of any minerals, timber, or flax; and for the purpose of any such tax the value of minerals, timber,, or flax shall not be taken into account in estimating the value of the land. The term "minerals" means all minerals, metals, oil, gum, clay, stone, or other valuable thing existing beneath the surface of the land. All income derived by any person from or by reason of the extraction, removal, sale or treatment of minerals, timber, or flax so far as it is derived from or received in New Zealand, be deemed to be income derived from business within the meaning of section 59 of the principal Act, and income tax shall be assessed and payable thereon accordingly. Nothing in this section shall affect the liability of any person to pay land tax in respect of a mortgage. This section shall commence to take effect in respect of land tax and income tax payable for the year commencing on April Ist, 1907. * | Notwithstanding anything contained in this section, if the Commissioner is of opinion that any land containing minerals or having standing timber or flax thereon is not being worked and used in good faith and to an adequate extent for the purpose of extracting the said minerals or of cutting the said timber or flax, such minerals, timber, or flax shall be excluded from the provisions of this section and land tax both ordinary and graduated shall be assessed and payable accordingly. Section 7 of the Land and Income Assessment Act Amendment Act, 1903, is hereby repealed. The remainder of the Bill consists of machinery provisions for' ascertaining income, etc.