The Sun.
London, England, 1852-12-04 00:00:00

THE SUN, LONDON, SATURDAf EVENING, DECEMBER 4, 1852

insisted that the Property and Income-tax should
be general ; and in the enforcement of this prin-
ciple, and in the development of the " wise,
just, and beneficial" measures known as the
measures establishing the system of unrestricted
competition, he now demanded the extension of
the Property and Income Tax to funded proper-
ties and salaries in Ireland. Turning in a kind
of episodical manner to the consideration of
the 240,000/, per annum, known as the Consoli-
dated Annuities, the Right Hon. Gentleman re-
marked that the Cabinet were not prepared
to accede to the recoraxnendations from the
House of Lords' Committee, though they
meditated bringing forward some Ministe-
rial suggestion at an early opportunity.
Having explained this matter incidentally, he
reverted to the subject of the Property and
Income-tax—observing that besides extending it
to the funded property, and salaries in Ireland,
Minister were preparing to recognise a difference
between permanent or realised incomes and
incomes simply precarious. In illustration of
his meaning, and after distinctly announcing
that there would not be a preponderating
increase in any schedule, he explained that he
would henceforth consider the exemption in
industrial incomes to commence at 1001.
per annumn, and the exemption in the
incomes on property at 501. per annum.
Schedule A and C continuing 7d., reducing Sche-
dules B, D, and E, to the rate of merely skd.
Estimating the proceeds of the extension of the
Property and Income Tax to Ireland at the "
mo-
dest sum" of 60,0001., he considered that the sum
total would be, under the new arrangement,
somewhere about 5,421,000. Meanwhile he re-
called to the recollection of the house that he had
suggested measures which would reduce the revenues
by an amount exceeding 3,500,000/. Added to
this, came the inereagcti expenditure consequent
upon the development, or rather organisation,
of the national defences. Remembering
these facts, it became his duty as CHANCELLOR OF
THE EXCHEQUER to allude now more parti-
cularly to the necessity for supplying deficiencies.
Glancing cursorily over the tables of the financial
year about to terminate, he remarked that it
was no doubt true that there would be found
on the sth of next April a probable dimi-
nution on the customs of about 100,0001.,
yet he, nevertheless, felt confident that the
surplus would prove not 460,000/., as he
had originally calculated, but actually a million
beyond that, amounting, in fact, to nearly
1, 400,000/. ! The Right Hon. Gentleman then stated
his intention of suggesting a series of measures for
increasing the revenues of the country by
about 600,0001., through the medium of a
supplementary estimate. Happily, he con-
sidered the state of the revenues to be " most
favourable" as we have intimated by the hinted
surplus of a million and a-half sterling. To-
gether with the prospect of this surplus,
he gave an equally gratifying prospect of
what he spoke of as "no inconsiderable
reductions." In earnest of the good intentions of
the Cabinet in this particular, he declared boldly
and distinctly, and amidst lcud applause from all
parts of the House including the Opposition, their
willingness to bring the whole revenue of the coun-
try under the control of Parliament. Hereupon,
Mr. DISRAELI came to the crowning point of his
difficult and memorable enterprlse—the considera-
tion of Ways and Means. Among the latest
of his announcements of Ministerial pro-
jects in the way of improvement, must not
be forgotten, by the way, the proposal to close the
Public Works Loan Commission. Having cleared
the way before him, tne CHANCELLOR of
the EXCHEQUER, we repeat, arrived at last
at about a quarter past nine at the
climax of his great financial statement. Amidst
the breathless stillness of the house, he re-
marked that he was not going to propose
an increase through the Customs, that he
was not going to call for a greater pressure
by the Excise, for a return to indirect taxation,
or for the imposition of a New Tax. No—he was
not about to demand a New Tax. or to revert
to indirect taxation. There was a hush of eager
curiosity. The secret was about to be re-
vealed. What has been looming upon the na-
tion in a remote perspective, ever since Fe-
bruary, was on the eve of appearing distinctly
visible and audible in the popular branch
of the Legislature. Her Majesty's Government then
avowed through the lips of the CHANCELLOR of the
EXCHEQUER their intention to propose to the Com-
mittee ,the consideration of the House Tax !
There is an existing tax—take into account its
present arrangements ! That is the project. The
Right Hon. Gentleman reminded the country that
the duty on houses producing them 1,198,0001.,
was in 1834 repealed--that the duty on windows
was afterwards abolished when amounting to
1,830,000/.—afterwards of 800,0001. on glass, of
465,0001. on bricks, of 1,500,000/ on timber, and
general though indirect taxation of 15,000,000/.
Such have been the reductions by which recent
legislation has established the system of un-
restricted competition. What the Cabinet
suggested, therefore, now, was the develop-
ment of that system by extending the house
tax—limiting its operation to every house
of 10/.—increasing the rate to is. on shops,
and to is. 6d. on private dwellings. According'
to his calculation, the result of the next year on
this new arrangement will be an increase of
receipts amounting to 2,500,000/., opposed
to an increase of 2,100,0001. in expenditure. The
Right Hon. Gentleman, after a masterly statement
which had occupied in the course of its delivery
up to a quarter to ten o'clock p.m., resumed his
seat amidst enthusiastic applause from the support-
ers of her MAJESTY'S Government.

sub silentio. We, however, at present, merely refer to
the Taxes on Knowledge, and more especially the adver-
tisement duties, as the most lamentable omission that
indeed constitutes a "hiatus valde deflendus."
The shipping interest will receive with thanks and
gratitude the concessions made by the Right Hon. Gen-
tleman—concessions that should not be considered in
the light of equivalents for what has been taken away
by the repeal of the Navigation Laws, but rather as
the removal of unjust and oppressive burdens which
should never have been imposed. The British ship-
owner appears to have been looked on as an animal to
be fleeced. He had to pay for lights which his vessels
could not see, harbours into which they did not enter,
and pilots of whose services they did not avail them-
selves—they were bound to surrender their best hands
and the anchorage of which they were in actual
possession to any vessel of the Royal Navy that
might come in the way, no matter how great
the inconvenience and loss thereby entailed on
the owners. These grievances were acutely felt
by the Shipping interest, and we are sure that
no unprejudiced or disinterested person will consider
that their abolition is too dearly purchased, and we have
no doubt that the spirit •in which the CHANCELLOR of
the EXCHEQUER entered on the question will elicit
universal commendation.
He has likewise acted fairly towards the West India
Colonies. The demand for differential duties is totally in-
consistent with the " unrestricted competition" to which
the House is now distinctly and unequivocally pledged.
But the privilege of refining in bond, is in no degree
opposed to that salutary privilege. It will afford a great
relief to the Colonists, without in any degree infringing
on the invaluable rule henceforth to be regarded.
As to the Agricultural interest the matters chiefly re-
ferred to are highway-rates, county-rates, and poor-
rates. On the former subject a new Bill will
be brought forward, which, it is to be hoped,
will be more beneficial both in a financial and
administrative point of view than the six abor-
tive attempts at legislation by which it has been pre-
ceded. In that also, as in the county-rates, the Right
Honourable Gentleman appears disposed to permit an ex-
tension of the representative system, a matter which we
have no doubt will be cordially appreciated by the rate-
payers. Although not prepared to recommend any
change in that or the poor-rate at present, we can
easily perceive " looming in the future," an important
alteration, which will, and as we have considered most
justly, transfer a considerable portion of their local
charges to the Consolidated Fnnd. The poverty of a
nation is justly and properly a charge on its prosperity,
but there is no reason why it should be restricted to real
property, or, why the owner of 100,0001. in the Three
per Cents, should not contribute as much as the
proprietor of an estate returning 3,000/. per annum.
The reform—for it would be a great and most valuable
reform— would equalise the burdens throughout the en-
tire kingdom, relieving those requiring assistance, and
transferring the weight to those who both could and
ought to pay—would also abolish the expensive and
worse than useless litigation occasioned by the law of
settlement, and the system of passing the shuttlecock
paupers from parish to parish and from union to union.
The reduction of the Malt-tax to one-half its present
amount, and the gradual diminution of the Tea Duties to
one shilling per pound, will be received with unmitigated
satisfaction. We have no doubt that the entire of the
Malt-tax will ultimately be abolished ; for it mustiLe re-
membered, that the odious excise surveillance insist
still be continued for one-half as well as the
whole, and that while any charge is retained
the poor man will be unable to make his own malt, and
brew his own beer, and the virtual monopoly of the
ale-kings and porter-potentates must continue in full
force. The reduction in Tea• is, perhaps, too gradual.
We have no doubt that the plan propounded by JOHN
MACGREGOR, the able, consistent, and enlightened repre-
sentative for Glasgow, of an immediate change to ls. 9d.,
with an annual diminution of 3d. per pound, would have
given more general satisfaction.
With respect to the Income-tax, the subject is too
important to enter on it at present. We have neither
time nor space to bestow the consideration it so emi-
nently merits. We rejoice, however, to find that the
distinction between fixed and permanent, and fluctuating
and precarious revenue—or, in other words, between in-
come and property, is recognised. For that and the exten-
sion of the charge to Ireland we are truly grateful. But for
the dreadful blunder respecting the House-tax—the set-
ting of town against country—as it was justly termed by
Mr. HUME, we should hail the Budget with unmitigated
satisfaction. But even with all its faults, it is far better
than any that was ever offered by the Whigs. The good
points are brought out in the strongest point of view,
while the omissions and errors are excused with consum-
mate skill. Mr. DISRAELI has by it achieved a
position as a financier unsurpassed by any of his
predecessors since the time of WILLIAM PITT. Sir
CHARLES WOOD was the cause of a great proportion of
the odium that fell ufion the RUSSELL Administration.
The genius of Mr. DISRAELI, on the other hand, may
possibly save his colleagues, and enable them to retain
office for a considerable time—far beyond that of which
they could have had any reasonable expectation. He is
indeed, the Atlas on whose shoulders the burden mainly
rests.

SPIRIT OP THE PUBLIC JOURNALS.

( From the Times.)
In the statement made last night by the Chancellor of the
Exchequer, there is one point at least which will give general
satisfaction, for if the proposition pass into law, it will be the
fulfilment—the tardy fulfilment—of a great act of public
justice. Mr. Disraeli has at length recogni?ed the principle
that a distinction exists for fiscal purposes between income
derived from transitory sources, and income which issues from
realized property. The difference throughout has been as
clear to the eye of common sense as the difference between
capital and interest, or between property and income. The
present rate of payment is to be retained for all kinds of fixed
property, but on transitory incomes it is to be reduced one
fourth. This we conceive to be the true principle—it is the
one we have always advocated from the very morrow
of the day on which the tax was reimposed by
Sir Robert Peel. We next come to the chapter of
exemptions. Hitherto, there have been two principal cases
of exemption—namely, Ireland, and all incomes under 1501.
First, with regard to Ireland,—why should Ireland be ex-
empted from the payment of this impost ? Sir R. Peel saw
difficulties in the way of collecting an Irish income-tax, and
imposed instead an additional spirit duty and an increased
duty on stamps. The former he was soon compelled to re-
move as affording encouragement to smuggling, the latter has
produced from all Ireland, in lieu of her proper contribution
to the Imperial burdens, the magnificent sum of 16,000/.
The calamities which have befallen Ireland have also
prevented the redress of this glaring disproportion ;
but, great as they have been, Ireland is now rapidly
'righting herself, and instead of complaining that a por-
tion of her property is now to be subjected to its
fair share of taxation, we trust that the house and the
country will assist on abolishing the exemptions which Mr.
Disraeli is still inclined to make in favour of her landlords.
According to his proposal, the land of Ireland is to remain
exempt for the present, but Irish funded property and Irish
salaries are no longer to maintain their unjustly favoured
position.

1. A remission of one-half, of the malt-tax, and of the war
duty on hops. Here is a substantial gain for the agrculturists
of nearly three millions per annum.
2. A reduction of the duty on tea, from 2s. 4Ad. to ls. per
lb. This is to take place gradually, in the course of the next
six years. Were the tax to be lowered to this great extent
at once, the great increase of the demand would ensure a sud-
den rise of price, and thus defraud the consumer of the
benefit.
3. An alteration of the income tax in the following man-
ner : •

1(
I. Incomes from trades and professions to pay only three- st
fourths, or sfd. per 205., instead of 7d.
2. The tax to descend as low as 1001. from industrial in-
comes, and 501. from realised property.
4. These alterations, with an increase in the navy estimates, st
would create a deficiency of 2,500,0001. Against this Mr.
Disraeli had to set a surplus income of 1,700,000/. and
400,0001. of expected repayments—together 2,100,0001. He Stst
r3quired therefore some further " ways and means." " And
now," said he, turning to the free trade members, " I mean 6, to test you. You are in favour of direct taxation. You
dislike taxes on articles of consumption, and must therefore 50
approve of the reductions, of the malt duty, duty on tea,
and on hops. Now, will you enable me to • carry out
these reductions by supporting the only increase of taxation St.
which I have to propose. The house tax is admitted to be,
in principle, a good tax. But it includes only houses of 201. 16
and upwards, and it is only 6d. in the pound on shops, and St.
9d. on private houses. I propose to include all houses of 101.
and upwards, and to make it ls. on shops, and is. 6d on 20
private houses."
This last point, the increase of a tax, is, of course, the 2020
difficulty of the scheme, and it is here only that any serious 12i
opposition need be apprehended But the consummate skill St.
with which the plan is framed is seen in this--that every class
of persons must gain by the Budget ; and that the remissions
cannot take place, except the increase of the house tax is St.so
conceded.
Let it be supposed, that a knot of householders get to-
gether, St.
gether, to oppose this disagreeable doubling of their house
St.
tax. But the following considerations must surely occur to
them :

1. Any of them who pay income tax on their trades or 50
prfessions will obtain a reduction of one-fourth of that tax.
2. All of them will benefit by the reduction of the duties 12!
on malt, hops, and tea.
Thus it is clear that on a balance they must be gainers; 12..
but if they oppose one part of the Chancellor of the Ex- 2g chequer's plan, they oppose the whole; for the scheme must
''
pass in its integrity, or not at all.•
In like manner a man with a small salary, or with a poor l 6
501. a year in the funds, may be cliscontentec at the thought of being subjected to the locome-tax, or the holder of a 101.
house may complain of having a house tax imposed on him. 12.
12:
But let either of these cooly reflect whether the mulct of 15s 12;st:
or 30s per annum will not be much more than made up to
St.
1 them by a reduction of beer to 2d per pot, and of tea to 2s 6d
per lb ? We cannot help, therefore, predicting the full
1 success of this Budget. It ought to succeed, as we have just 161
20'
said, because it is a Budget by which every man must
gain more than he loses. We may also say, in a lower 50
sense, that it ought to succeed, because never has there
been ''
in our days a financial scheme produced bearing such evident
marks of skill, forethought, and entire fairness, as that St.
which was last night offered to the House of Commons. 20.
As a piece of statesmanship, the plan of last night, and the s, "
speech in which it was conveyed, would bear comparison—we might say, would shine by comparison with the best efforts iK
''
of Sir Robert Peel.
8

We are compelled by the length to which our report 10
of the financial statement in the House of Commons extends, 25
to postpone until Monday several matters of interest. 10
LORD FRANKPORT.—Yesterday Lord Frankfort was 14)4
convicted in the Court of Queen's Bench, of having published
a defamatory libel with intent to defame Lord Henry Lennox, St.
and sentenced to twelve months imprisonment in the Middle- 20
sex House of Correction. 121
THE EGYPTIAN STEAM FRIGATE TAID GIHADD leaves Southampton to-day for Alexandria. She will convey out a sjj
few passengers connected with the Oriental Company and
Alexandria, by especial favour. She conveys out to the 31
Pasha four English mastiffs of immense size and strength. 2t
Crowds of persons have visited this magnificent frigate during
her stay in Southampton docks.
SINGULAR AND FATAL CAB ACClDENT.—Yesterday
morning a remarkable accident caused the death of Mr. George
Leadbitter, formerly a detective officer attached to Bow-street
`lO
cab,; Police-office. As Mr. Leadbitter was proceeding home in a
~I -74 X
cab, and had arrived at the junction of Lower Grosvenor-
place with the Victoria-road, he thrust his head out of the 110 ;XX
window to speak to the driver, just as the vehicle was on the''''
turn, and the weight of his body coinciding with the centri-
fugal tendency communicated to the cab in the act of winding •••
round the corner, threw the body of the vehicle off the
wheels, and it fell on the unfortunate gentleman. He was at 20
once removed to St. George's Hospital, but was found to be ,
quite dead, and there is every reason to believe that ho was gov
killed on the spot.
„ 100
FRENCH INGENUITY IN ART.—We had yesterday the 100
opportunity of inspecting, with some minuteness, the produc-
tions in art-manufacture which have been fabricated in Paris
so
for the house of Howell, James, and Co. These articles mani-
25
test an immense amount of taste, and are characterised by
that happy tact of knowing how to make the most of a new
idea, and the equally valuable faculty of knowing when and 25 where to leave off, for which the continental art-workmen are lop
so distinguished. The productions of this class are almost 10
countless, and bear proof that at the present moment the em- 5
ployment of the hands and the minds of the Paris artizans is
uninterrupted. It is further obvious that the possessors of
this industrial faculty have had in view the kindly influences 25.
of Christmas and the New Year—many of these exquisite re-0
i
sults of refinement being clearly intended as souvenirs of the 40
ennobling sympathies of of action 471db:we.— iiffninglierag .
I

We now come to the second class of exemptions. Why St.
should incomes less in amount than 1501. per annum be 50
spared, when all classes of the community are compelled to
contribute indiscriminately by indirect taxation ? According
to Mr. Disraeli's new modification, the tax will strike incomes 12
derived from permanent sources as low as 50/. per annum ; in
.„°,
other cases it will only affect incomes of 100/. per annum 101
and upwards. The intention is still to exempt those who St.
live by weekly wages, at the same time that the small St.
20
landowner and fnndholder will be compelled to pay their 14
share. This is fair enough, for there really was no reason
in 50
justice or common sense why owners of small properties 20
should not be compelled to pay upon their realised properties 11
as well as upon their tea and sugar. The case of the hired 10
servant stands upon different grounds. It should be
added, moreover, that at a certain point the cost of col- 04•
lection would overtake the produce of the tax. There 20
can be no reason, except such as those we have just 10
stated, for the exemption of any great class of the com-
munity from . a scheme of direct taxation. There 50
is, however, one very special case. The clergy 40
have hitherto been placed for income-tax purposes 25
in the same schedule as landowners, although it is obvious 25
they only have a life-interest in the income derived from their St.
livings. Mr. Disraeli, considering this fact, and at the same 8e
time the very moderate pittance upon which the great bulk St.
of the clergy subsist, has removed them to the more favoured St.
class in his new scheme—that is to say, they will only be 50
taxed at the rate of 54d., in place of 7d. in the pound as now. 25
The species of property is no doubt of an abnormal character, 100
and the new arrangement may pass unchallenged on special St.
grounds. 25
Such are the leading features of the new income tax 50
arrangement ; and, although we think that in fairness a 20
greater difference should have been established between the
rates of taxation, still we give Mr. Disraeli credit for the St
recognition of a sound principle, which, once introduced, will 111
render subsequent modifications easy. For many years the 51
red-tapists have denied either the justice of the distinction, S
or the possibility of carrying it out in practice, if the prin-
ciple had been allowed. The Chancellor of the Exchequer 7
has admitted its justice, and is at least about to test
the possibility of carrying it out. He deserves all com-
mendation for the course he has pursued, and we may con-
gratulate him upon it the more heartily that we have been
long struggling to obtain the result—struggling as men will
struggle when they know that the truth of the principle they
advocate will one day or another be acknowledged. The
thought strikes one over and over again, how easy it would
have been for the Whigs to do all this, and to have gained a '
better hold on the respect and affection of the country. But
no, the self-satisfaction of a coterie was too strong for the
suggestions of sound policy or the dictates of justice.

(From the Morning Herald.)
13
The speech of Mr. Disraeli, last evening, was truly an ex-
20
traordinary effort. For more than five hours did ho rivet the
attention of a most crowded house, and completed one of the 20
most comprehensive expositions of finance that Parliament '••
has ever heard; and, what is more, he left on the minds of pu
most of his hearers the impression of complete success—the
." l
conviction this scheme, taken as a whole, showed such proofs St.so of skill as to make its entire realisation a matter of great
20
probability.
Mr. Disraeli commenced by taking a careful review of the 20
three great interests--shipping, West Indian, and ag,ricultu-
ral—which felt themselves deeply injured by recent legisla-
-25
tion, and looked to him for redress.
Ho examined the case of the shipping interests at some 20
length, but was only able to offer them relief from some light-
50 20
house duties, to the extent of 100,0001. per annum.
The West Indian grievances were next investigated; but 20
the principal boon that Mr. Disraeli could afford to them was 20
a permission to refine sugar in bond—an advantage long 10
st.
sought and highly valued.
Next came the case of the agriculturists, and their peculiar 25 bur dens. The highway, county, and poor rates were re- St.
viewed ; but the Ministers could not resolve upon touching
either of them.
Up to this point the effect of the speech was rather dis-
appointing. But, to do justice to the speaker, it was neces-
sary St.
sary to bear in mind, that he was addressing a free-trade
House of Commons, and that he had pledged himself to fall St.
in with the new system. Hence, to have
Apposed " Protec-
tionist measures," would have looked like a breach of faith,
and would probably have been treated as such by Parliament. 20
His object, therefore, was, to do as much good as possible ; St.
but in such a way as to compel the Free traders to fall in with
15
his proposels.
We now come to the main features of the Budget. These
a; 6i
were :