THE FINANCE BILL

Waikato Times, Volume 94, Issue 14829, 17 December 1921, Page 5

THE FINANCE BILL

REBATE ON INCOME TAX LIBERAL AND LABOUR OPPOSITION. IMPOST ON AMUSEMENT^ (By Telegraph.—Special to Times.) WELLINGTON, Saturday. The House went, into committee upon the Finance Bill. Early this afternoon the leader of the Labour Party (Mr H. E. Holland) had stated that lie intended to "exhaust the forms of the House" in opposing the 5 per'cent rebate of income tax, and the increase in the amusements tax', but the threatened stonewall did not become a serious affasr. Mr Massey said he was quite sure, that the rebate on the income tax was a move iu the right direction. Nothing was injuring- the prosperity or the Dominion more than the exceedingly heavy taxation on incomes and land, and he desired to readjust taxation so that it would not press so heavily on individuals.

Mr W. A. Veitch (Wanganui) said some wealthy people were putting their money into free-of-income-l.ax debentures, which they bought at a depreciated price, and so were escaping taxation altogether. The consequence was that business men, who contributed to the prosperity and development or the country, had to pay taxation wealthy investors avoided. Mr Massey replied that the Dominion must stand by its bargain. There was no way of reducing taxation at present by spreading it more widely. The Liberal and Labour members opposed the clause granting the rebate of income tax. hut they did not carry their opposition very far. A division was reached soon after midnight, and the clause was retained by 32 votes to 2G. ' Mr Massey presented a clause relating to the amusements tax. It proposed that tickets costing not more than 9d should he free of tax, that tickets costing over 9d and under 3s 6n should pay Id per Is or part of Is, and that tickets costing over 3s fid I should pay at the same rate plus an j extra Id.

The Labour members made a brief protest against this clause, which was adopter! by 38 votes to 18.

The Bill was passed