VALUATION SYSTEM.

Waikato Times, Volume 111, Issue 18641, 20 May 1932, Page 10

VALUATION SYSTEM.

BETTER METHOD URGED. BASED ON PRODUCTION. (Special Reporter.) AUCKL AN D, Thu rsd ay. General dissatisfaction with the present valuation system was voiced at the Auckland Provincial Conference of the Farmers’ Union last evening. It was decided to draw the attention of the Minister concerned to the fact that persistent agitation for a more accurate and uniform system of valuation throughout the Dominion had not borne fruit and that valuations today rarely had even an approximation to the capitalisation of the earning power of securities. Mr E. L. Walker (Bay of Islands) pleaded for a scientific basis of valuation. It should be based on the productive value of land. A value should be arrived at by placing the gross annual returns from land the gross costs of production. The difference should be capitalised at o the ruling rate of interest per annum. Accurate and Uniform. Mr A. E. Robinson said the remit oniy asked for an accurate and uniform system of valuation. The potential producing value of the land should be capitalised and based over a term of years. Air S. N. Ziman (Cambridge), claimed that they were attaching 100 much importance to the valuation. They •should press for derating and abolish the necessity for valuation. (Applause). Mr F. Colbeck considered it was most improper for a man to be able to have his property revalued by paying a special fee. One delegate said he knew of a property which had increased in valuation: by £7OOO in one week. When there were such anomalies a better system was necessary. Replying, Mr Walker said people would see that farming was hopeless if they could be shown that land which had had improvements but had no j productive value was worthless.