The Press.
London, England, 1857-01-24 00:00:00

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LONDON, SATURDAY, JANUARY 24,, 1857.

POSTSCRIPT,

THE CHANCELLOR OF THE EXCHEQUER
AND THE INCOME TAX.
Tnu Chancellor of the Exchequer yesterday re-
ceived a deputation of gentlemen from London and
the counties, headed by Major Reed, M.P., who
waited upon Sir George Lewis with the view of
urging the reduction and revision of the income tax
on and after the sth of April next. The Chancellor
of the Exchequer, in reply, said, that so far as re-
garded the revision of the tax, very great difficulties
would beset any plan that sought to make differences
between precarious and permanent incomes, and he
believed that those gentlemen who talked of perfect
taxation would find, if they bad to levy any large
amount of taxation, that their success fell very short
of their anticipations—
At the same time, he was quite ready to con'ider any
arguments that might be laid before him bearing upon
the question, and to give his best attention to any
detailed plan that might be prepared for carrying a better
system into effect.
With respect to the amount of the tax for next year,
Government had no desire to maintain any taxes not
necessary for the public service :
He did not propose to go into the expenses of the year,
which, however, he might say were heavy in consequence
of the removal of troops and winding up the accounts of an
expensive war, but he might say that he had had no desire
to continue the malt tax, nor to interfere with the payment
of the drawback, by which the Exchequer sustained a loss
of nearly a million. ' Then, again, the war duties on tea,
sugar, and coffee would terminate on the sth of April next.
The income tax in its present form might continue until
a year after the sth of April next, but Government would
not take any undue advantage of that, but would act in
the same way that they had acted with the Sardinian loan.
They certainly would not insist upon the strict fulfilment
of a bargain where a few days would give the Exchequer
an additional income tax, if that tax were not needed.
But he must add, with regard to the rate of the income
tax, that it was a case, not of taxation, but of expenditure.
The question to be considered was, what would be the
expenditure of the following year? With regard to the in-
terest of debt, there would be, no doubt, some increase on
account of the loans contracted during the war. There
would be two millions of Exchequer Bonds that would fall
due next year, and the civil list and civil expenses would
be about the same as last year. The question, therefore,
would be, what would he the expenditure of next year?
and that would depend mainly upon the army and navy
estimates, the amount of which had not yet been communi-
cated to the Government. Upon the expenditure, there-
fore, the ways and means of the country must depend.
The amount realised by the income tax was very large, and
the proposal now made, unless Rome other tax were pro-
posed—which he presumed the deputation did not con-
template—would reduce it by eight millions. That was,
he was afraid, all he could Ray, and he had stated his views
as fully and with as much candour as the circumstances in
which he was placed would permit.
After some conversation the deputation retired,
thanking the Chancell r of the Exchequer for the
courtesy with which its members had been received.

THE LIVERPOOL FINANCIAL REFORM ASSOCIATION
held a public meeting on Thursday evening. The
chairman, L. Hayworth, Esq., M.P., on opening the
business of the evening, argued at length In favour
Dr 0. 400 over Indirect taxation. The report of the

THE PRESS.

association was then read, from which it appeared
that among the persons with whom the council have
been in communication on the subject of taxation
was Lord Stanley, to whom the tract on the income
tax was submitted. In reference to the scheme
there sketched, his lordship says :

I agree in the preferability of direct over indirect taxa•
tion, if two conditions be conceded; the first, that of
equality between classes, which, by the capitalisation
theory, seems attainable ; the second, that of accurate
knowledge by Government of private incomes, which I
know no means of obtaining. It. is this latter difficulty,
more than the former, which prevents many public men
from acceding to the principle of a large extension of
direct taxation.

Mr. Roebuck, M.P., then addressed the meeting at
some length, maintaining the justice of direct over
indirect taxation, but strongly protesting against the
present system of levying the income tax. But before
financial reform was to be hoped for, parliamentary
reform must be obtained; and the honourable mem-
ber, amid some laughter, gave a description of the
social influences brought to bear upon independent
members ;
I find that there is a wonderful desire in the princely
merchants of this princely town to be thought fine gentle.
men in the House, If they could only bear the sort of
criticism and sarcasm that follows their own individual
debasement. I think they would he prouder of their position
as independent men than subservient followers. Lady
A. says to Lord A., who is the Minister ?—( say A. B. C.,
or P. who is Minister of the Crown, the Prime Minister—
my Lady A. says, " Who is that vulgar fellow, A., that you
have introduced to me 9" He says, "My dear, now don't
use that language. I acknowledge that fellow to be a
vulgar fellow ; I know it—know it as well as you ; but he
has a vote in Parliament ; now do be civil to him."
And so she is civil him ; and the poor man votes ever
after as Lord A. bids him. And those are your watch-dogs.