22 



J. E. Le Rossienol and IV. D. Stewart 



laxity in public expenditure characteristic of the democracy of 

 New Zealand. Back of this inequality in the payment of taxes 

 lies, of course, a corresponding inequality in the distribution of 

 wealth. 



STAMP DUTIES 



A large revenue is raised by means of stamp duties, amounting 

 to £585,465 in the year 1907-8. These taxes are paid upon a 

 great variety of instruments, including affidavits, agreements, 

 annual licenses of companies, assignments, bills of exchange, 

 promissory notes, bank notes, bills of lading, sea insurance poli- 

 cies, certificates of incorporation, conveyances, deeds, receipts, 

 transfers of shares, letters of administration. 



The duty on receipts is id. (2 cents), irrespective of value re- 

 ceived. The duty on transfer of shares begins with a duty of is. 

 (24 cents) when the purchase money does not exceed £50 ($243) ; 

 when it exceeds £20 and* does not exceed £50 the duty is 2s. 6d. 

 (60 cents) ; for every additional £50 the duty is 2s. 6d. Upon 

 any transfer of shares not an actual sale the duty is 10s. ($2.40). 

 These duties are obviously intended to discourage speculation in 

 shares. 1 The duty on bank notes is equal to one-half of 1 per 

 cent upon the average quarterly circulation. The maker of a 

 promissory note pays a duty of 6d. (12 cents) for any sum not 

 exceeding £25, is. for any sum exceeding £25, and not exceeding 

 £50. and is. for every additional £50 or part of £50. The duty on 

 bills of lading is is., paid by the consignee. The duty on leases is 

 2S. 6d. when the yearly rent does not exceed £50, and 2s. 6d. for 

 every additional £50. 



A considerable revenue is derived from licenses granted to 

 racing associations and other users of a betting machine called 

 the totalisator. The duty is \]/ 2 per cent upon the gross takings. 

 In the year 1907-8 the total takings of the totalisator were 

 £1,999,757, and the government's share was £29,996 ($145.000). 2 



An important source of revenue is the progressive tax on the 



1 An Act to Consolidate and Amend the Laws Relating to Stamp Duties, 

 1882. 



2 Stamp Acts Amendment, 1891. Year-book, 1908, p. 638. 



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