TAXES DEALT WITH AT MEETING OF N.Z. FARMERS.

Star (Christchurch), Issue 18844, 22 August 1929, Page 11

TAXES DEALT WITH AT MEETING OF N.Z. FARMERS.

CHANGES WANTED IN GOVERNMENT’S SCHEME. Per Press Association. WELLINGTON, August 22. A special meeting c 5 primary producers, called by the New Zealand Farmers’ Union, was held at the Farmers’ Institute to-day tew consider the taxation proposals of the Government. There was an attendance of about seventy farmers from different parts of the Dominion. Mr W. J. Poison, M.P., president of the Farmers’ Union, was in the chair and thanked members for attending at such short notice. The idea had gone forth amongst farmers that he had undertaken to speak in the House on behalf of the Farmers’ Union. He had done nothing of the kind, but he spoke as a representative of his own constituents and also expressed his own opinions. The union had not been compromised in any way. At a matter of fact, there were some very important points in the Government’s proposals with which he totally disagreed. His only anxiety was to see the best done for the farming community. That, and nothing else. Assuming that the Prime Minister was right when he declared that additional taxation was necessary, the four proposals were: (1) Thai; large farmers are to pay greater taxation through income tax; (2) that large farmers shall pay taxation on their debts; (3) that large farmers shall pay graduated land tax; (4) that the farmers shall pay all duties through the Customs Mr Poison was of opinion that economies could have been effected without seriously affecting the officers of the Public Service. lie was convinced that the bulk of the people of New Zealand, also the bulk of the farming 'community, were most emphatically in favour of closer settlement. As an individual, he was in favour of steepening the graduated land tax on large estates. He expressed the opinion that there must be a thorough reclassification of land valuation. He was in agreement with anything that would bring about reasonable land settlement, provided, of cdurse, that undue hardship was not

inflicted upon anybody. The graduated tax was one of the quickest ways to bring about closer settlerrfent. A voice: It is wrong in principle. Mr Poison: It is the principle that has been in existence for a good many years, and I have not seen any Government, Reform or Liberal, which has sought to reverse that principle. He agreed that a man should not be taxed on his indebtedness. It was subversive of British justice. A voice: Why impose it on the big mortgage man ? Mr Poison replied that the principle had been in existence for many years. The ta>T disappeared at £15,000. He disagreed with the Government proposal. The Conference, in committee, discussed the question as to whether the Prime Minister should be invited, the

result being a decision that the conference should proceed with the business without Sir Joseph Ward’s presence. It was decided to ask him to receive a deputation in the afternoon. Some discussion took place whether a paper prepared by Professor Murphy should be read. Objections were raised on the point of time. Eventually Professor Murphy withdrew’, but a motion was carried thanking him for going to the trouble of preparing a paper, the value of which was recognised. A series of motions had been prepared and these were dealt with one by one, the speakers being limited to five minutes each.

The motions were adopted in the following form: That the combined meeting of the New Zealand Farmers’ Union and other cognate organisations, favours a reduction in public expenditure instead of an increase in taxation on the farm lands of the Dominion,

and recommends an exemption of £lO,000 on registered mortgages in compu£ion of land tax, if further taxation required from land, but that the exemption be reduced by £1 for £1 in excess of £IO,OOO unimproved value, until it finally disappears at £20,000; that this meeting is of the strongest opinion that it is most inequitable for any taxpayer to pay taxation on debts; that family partnerships be individualised for both land and income tax. (Proceeding.)