The antagonism was renewed in 1894 upon the proposals for additional taxation, by which the Premier, Mr. Turner, hoped to cope with an anticipated deficiency in the revenue of more than half a million pounds. His scheme included the repeal of the existing land-tax, under which landed estates of upwards of 640 acres in extent are taxed annually upon the excess of the capital value over £2,500--an impost which obviously penalises rural, at the expense of urban, properties and was intended to promote the subdivision of the land (though it does not appear to have had much effect in that direction); and the imposition of a tax on unimproved values at the rate of 1d. in the £, subject to the exemption of £100 when the value does not exceed £1,000, and of an income tax which, subject to the exemption of incomes not exceeding £200, was to be at the rate of 3d. in the £ on incomes derived from personal exertion and 6d. on incomes derived from property up to £2,200, above which sum the amount was in both cases to be doubled. Absentees were to pay an additional 20 per cent., { 125} and incomes from land were to be exempt where the owner paid the land-tax. These taxes, it was calculated, would yield an annual revenue of £600,000. The Finance Bill was passed in the Assembly at its second reading by a majority of twenty-two, but in committee it was amended so as to exempt from the land-tax land values of less than £500. The resultant deficiency in the proceeds of the tax was made up by a continuance of the primage duties and by an increase of the tax on incomes derived from personal exertion. Upon its transmission to the Council the Bill was summarily rejected, the Minister who was in charge of it alone, beyond the tellers, being in its favour, on the ground that the questions of a tax on unimproved values had not been submitted to the electorate and that, in the existing conditions of the Province, any further burden upon the producers would be opposed to its best interests. The Ministry accepted the decision of the Council and contented themselves with rigid retrenchment, the continuance of the existing land-tax, and the imposition of a progressive income tax which rises to a maximum of sixteen-pence upon the excess over £2,000 of incomes derived from property. According to a statement of the Premier, they intend to make the question a distinct issue at the next elections, and will in the meanwhile take no action in the matter.