THE Wairarapa Age MORNING DAILY. SATURDAY, NOVEMBER 15. TAXATION.

Wairarapa Age, 15 November 1919, Page 4

THE Wairarapa Age MORNING DAILY. SATURDAY, NOVEMBER 15. TAXATION.

The statement made by the Right. Hon. W. F. Massey in his policy speech at Waiukn on the question of taxation is of considerable interest to all classes of tho community. His announcement that there are to bo no moro loans free of income-tax, and no forced loans, will be received with general satisfaction. The: policy of exempting war bonds from taxation has been condemned-from one end of the Dominion to the other as unjust and unsound. It is quite clear that, while a certain amount of* borrowing will bo necessary in order to meet spocial expenditure, a large" portion of the revenue required for development purposos will have to be raised by taxation. Mr. Massey was perfectly correct when he stated that we had departod from the principle in taxation that every man in the community should contribute in proportion to his ability to pay. This is especially so in respect to the taxation of land, as many small farmers are taxed on the money they owe. Owing to tho increased values, tho graduated tax now applies to comparatively small areas. This is an anomaly that could very easily be removed. But there was something missing—an important something—in the Prime Minister's references to taxation. While he very properly urged that relief nhould be afforded the small farmer and the man with a family, he omitted to state by what process it was proposed to raise the revenue required to carry on the services of the State. Where are the millions to come from to meet the interest on our enormous national debt and" to develop our .resources? Ii >~.e small farmer is to be exempted, and j'the family man is to be relieved, who 'is to pay? Mr. Massey states that i the graduated land tax was intended only to burst up large estates. As it has not effected its purpose in this direction, he may consider it desirable —he "may,'' mind you—to stiffen tho tax. But if he should not do so, from what source does he intend deriving his revenue?. Will ho impose a graduated income-tax, or does he propose to ratec additional revenue through tho Customs? The electorate is not given the faintest idea of how it is intended to produoe tho revenue required to moot our national obligations. Neither Mr. Maßsey nor Sir Joseph Ward have taken tho people into their confidence in this matter. Both of them are offering concessions here and financial assistance there, but they do not toll us by what means they aro going to replenish! the Treasury coffers. The people have a right to insist upon information on this point. Is it proposed to make people contribute is proportion to their ability to do so? If it is, then lot ua hear how the job ia to be performed. >How is it proposed, for instance, to get at the profiteer who is in a position to pass his taxation on to the general community? It is very well to talk of readjusting our taxation and relieving the unhappy farmers. But who ia going to foot the bill?