8.—20

1892. NEW ZEALAND.

LAND AND INCOME-TAX DEPARTMENT (REPORT BY THE COMMISSIONER).

Presented to both Houses of the General Assembly by Command of His Excellency.

The Commissioner of Taxes to the Hon. the Colonial Treasurer. Sir, — • Land and Income-tax Department, Wellington, 28th July, 1892. I have the honour to submit a report on the general valuation of land under " The Land and Income Assessment Act, 1891." Attached are returns giving results as far as ascertained. Tables setting out a classification of land according to area held, and also by value, are in course of preparation, and I hope to have them completed before the end of August. These will be similar to Tables 8 and 9 of " Results of Property Assessment, 1888," but both the improved and proved values will be stated. I must ask that this may be taken as supplementary to my report of the 7th instant. A general assessment is an undertaking of very considerable magnitude, for all land in the colony has to be valued, whether occupied or unoccupied, whether belonging to companies, or persons, or local bodies, to Natives, or the Crown. To make the valuation, 214 assessors were appointed, and their duties occupied periods varying according to the extent of country, its character, and number of holdings, most of them taking more than three months. After the assessors sent in their notebooks or field-books which contained 208,459 valuations, notices of assessment were written and posted, and statements of value or rolls were deposited at the offices of the various local bodies throughout the colony. Returns of their land were furnished by owners, but it was impossible to compare these with the assessors' values before the posting of the notices of assessment. Time did not permit it. Although the valuation was made as at the Ist November, the last valuation-rolls have only now been issued, and local bodies are naturally impatient of any delay. Had it been possible to compare owners' returns with the assessments before sending out notices, the number of objections would have been diminished, and many owners would have been spared the trouble of applying to have corrections made. In a general assessment of the colony many people must be dissatisfied with the values at which their lands are assessed, and they discover errors as to area and description of properties. Every facility is given to persons who may feel aggrieved to send in objections, and the number received this year was 19,461, of which 9,898 were allowed by the Commissioner, the remainder being disallowed. It should be remembered that a large number of objections were not as to value. In the case of objections referred to the Boards of Beview, reductions were granted in 2,010 instances, the total decrease being £981,455 in the improved value. A great many did not affect the land-tax, and extreme instances of reductions as regards local rating only are to be found in Inangahua and Grey Counties, in which the decreases by the Boards amounted to £111,904 and £122,860, nearly the whole of which large sums represent allowances in the assessment of the line of the Midland Bailway Company. With the object of ensuring a correct and uniform valuation of lands and of improvements, I arranged for the appointment of inspecting assessors for the more important parts of the colony outside boroughs, and I am glad to say that the system answered very well indeed. The assessors derived great advantage from consultation with the inspecting assessors, and their attendance before Boards of Review very largely assisted assessors in supporting their values, the result being an even assessment, in which properties are fairly valued. I refer with regret to the very little assistance afforded by local bodies in the direction of obtaining an accurate assessment. Although in nearly all cases local bodies outside boroughs assess on rolls supplied from this office, and although statements of values were deposited at local offices for inspection by the local authorities and by the public, notice was not taken of any inaccuracies excepting in a few instances; and some complaints were not forwarded until the Reviewers had completed their sittings and the rolls had been signed. A little more co-operation by local bodies would have been very beneficial in many instances, and would have been gladly accepted. I—B. 20.