The Press.
London, England, 1854-03-11 00:00:00

RESULTS OF RECENT EXTENSIONS OF TAXATION.

First, I will go to that vexed question the income tax.
The collection of the tax has been delayed by a variety of
circumstances. It is always delayed on the occasion of an
act which causes new assessments, because it begets new
appeals, and the extension to Ireland has been in some
degree the cause of delay, while the extension of the tax
to a new class having incomes between 1501. and 1001. a
year necessarily brought forward a great mass of business,
and caused a considerable number of appeals, in reference
to the class with whom formerly we had nothing to do.
This has postponed the collection of the tax so much
that at one period during this quarter the Exchequer ac-
tually received less than last year under the head of income
tax by no less a sum than 770,0001. But that has nothing
whatever to do with the productiveness of the tax, it
has merely reference to the time of collection. It,
however, goes to account for that lowness of the
public balances which has during the last few weeks
been a natural subject of remark. The case of the
Irish income tax is this. I estimated that the tax
would yield 460,0001., and after making every deduction the
net produce will be 480,0001. Only half of this, however,
will be received during the year, and something less than
that will be received before tha sth of April. But the tax
has fully answered the expectations with which it was pro-
posed to Parliament. Then, as to another head—the ex-
tension of the tax in Great Britain to persons having in-
comes of between 1501. and 1001. a year. The assessments
not having been generally completed, the precise results of
the measure I cannot say, but I am in a position to
state that it will yield to the Exchequer at least as
much as I ventured to calculate on obtaining that
is to say, the sum of 250,0001. Another measure is
the augmentation of the spirit duty in Scotland. The
result of that measure has also been perfectly satisfactory,
for, though there is an apparent defalcation on the amount
of the year, I venture to anticipate it is a defalcation fairly
to be explained by causes quite apart from the increase of
the tax. I estimated that the increased income from the
addition of ls. to the spirit duties would be 278,0001. As
I now estimate it, it will be 209,0001. But it is in the know-
ledge of all gentlemen connected with Scotland that a
strong religious sentiment has set in in that country against
the consumption of spirits, and that this led last year to
the enactment of a restrictive law (not introduced by the
Government, but not disapproved of by them), which, by
greatly narrowing the means of selling spirits, led off ne-
cessity to a diminution of consumption. The consump-
tion accordingly has diminished, so that the increase to the
revenue will be only 209,0001. instead of 278,0001. ; but I
am happy to state that there is not a breath of suspicion as
to any part of this diminution being connected with the
revival of illicit distillation. The increase of the spirit
duty in Ireland has been altogether satisfactory. So far
has it been from causing any revival of illicit distillation,
that, so far as we have been enabled to judge from expe-
rience of a year, the excess of revenue has been even more
than I expected. The amount for which 1 took credit was
198,0001. ; the actual increase has been 213,0001. ; and in
that amount I have made allowance for the extra expendi-
ture connected with the establishments which it was
thought prudent to increase ; but which expenditure in
future years it will be practicable to reduce. There is one
other head to which I must refer—l mean that of the suc-
cession duty. So far as regards the ultimate probable
result of that measure I have no reason to depart from
the conjectural computations of last year. But the effect
of the postponement which it was my duty to allow on
payments under the new measure has been such as greatly
to reduce the receipts from it in the course of the
year now expiring. Looking forward to the next year,
I do not think we can anticipate more than half a million
from that measure, and with respect to the ultimate re-
sults I think they will be as I have conjectured them ; for
I am bound to say that all that has occurred has convinced
me that those very sanguine anticipations which some hon.
kentlemen indulged in, supposing that there would be
3,000,0001., or 4,000,0001., or 5,000,0001., and even more, as
the proceeds from that measure, are altogether of a visionary
character.

GENERAL STATUS OF THE REVENUE.
This is the state of the case with respect to the twelve
months which have now nearly expired, and I think the
committee will be of opinion that the whole of these com-
bine to show that the finances of the country are on a sound
and solid footing. ("Hear, hear," from the Liberal benches.)

FUTURE RECEIPTS.
I venture to submit to the committee the following esti-
mate of the probable revenue of the year 18.54-5 :—I take
the customs dutes—and here, as well as under other heads,
I allow for those reductions of taxes which will take effect
under laws already in force—l take the customs at
20,175,0001. ; the excise at 14,595,0001.; the stamps at
7,090,000/. ; the taxes at 3,015,0001. ; the income tax at
6.275,0001. ; the Post•office at 1,200,0001. ; the Crown lands
and land revenues at 250,0001.; old stores, 420,0001. ; mis-
cellaneous, 320,0001. The total sum anticipated for the
year 1854.5 will be 53,349,0001.

FUTURE EXPENDITITRE.

Looking forward to the expenditure of the year, I enter
upon a detail less satisfactory than that which I have thus
far given. The first head, however, is one on which there
is a considerable reduction. The charge for the funded

MARC!! 11, 1854,

debt for 1844.5 I take only at 27,000,0001. The actual
charge for the twelve months ending the 6th of January,
1814, was :L7,570,0.0. There is a difference, therefore, of
570,0(101. in favour of the country. (Hear, hear.) The
charge upon the unfunded debt I take at 640,0 W. ;
the charges on the Consolidated Fund at 2,400,0014
the army at 6,857,0001.; the navy at 7,488,0001. ;
the ordnance at 3,840,0001. ; the commissariat at 045,0001.;
the miscellaneous estimates at 4,775,0001. ; the militia
the same as last year, at 530,11001. ; the packet service—the
only estimate which shows a diminution on the amount
voted last year—at 792,0001. Then it is necessary I should
stay to the committee some amount of money which,
without attempting at the present moment to determine
what shall be its technical designation, or under what form
it shall be voted, I may describe as a provision for the ex-
traordinary military expenditure connected with the expe-
dition to the East. (Hear, hear.) It is extremely difficult
to form anything which can be called an estimate of that
expenditure. ( Hear, hear.) War is a disturber, as of other
things more serious, so likewise of financial compu-
tations and the regularity of financial proceedings.
We have thought it right to make known at the earliest
possible moment what we propose with reference to provi-
sion for the wants of the public service ; but it is quite im-
possible for us to undertake to say at this moment that the
provision we now propose shall be adequate, and neither to
great nor too small, for the exigencies and wants of the
Whole year. (Hear, hear.) It is of necessity, therefore,
an indefinite sum for which we ask, with reference to the
expense of this expedition to the East. On what principle
shall we attempt to calculate that sum? On this principle.
That it is our duty not to remove the public expenditure
of the country, and especially the war expenditure, from
the control of the House of Commons. (Cheers.) If we
were to ask you to place in our hands, as the proceeds of
the taxes of the country, a very large sum of money to be
applied to the purposes of the war, amounting to several
millions, you might justly say, " Wait until the necessity has
arisen ; Parliament is not about to separate in the month
of March ; it is in your power to make a further proposal in
the month ofJune or July, if the circumstances of the
country and the state of Europe should then seem to
warrant such a proposal." (Hear, hear.) We are about to
act on that principle, and to ask only for such an amount
which, though it may seem large to some gentleman, we
feel convinced is the smallest by which, under the most
favourable circumstances, we can hope to see those gallant
forces now leaving our shores brought back after the com-
pletion of the object for which they are sent. (Cheers.)
Taking those forces at 25,000 men, we propose to ask the
committee to vote a sum of money for the purpose of ex-
traordinay military service at the rate of 501. per head, or a
sum of 1,250,0001. (Murmurs of surprise.) Inserting, there-
fore, that amount in the estimate of expenditure which I
have ventured to give, the total amount of estimated expen-
diture is 50,189,000/.