The Sun.
London, England, 1866-04-02 00:00:00

regard to the loss on the income tax, we must
notice that a great proportion of the total loss on
the year occurs in the quarter just ended,
owing,
it is said, to arrears in the collection. Altogether
the returns of the quarter show an increase of
£349,814 against a decrease of £1,734,000,
there being only three heads on which an
increase is recorded, excise, crown lands, and mis-
cellaneous, while there are four items of decrease,
including the somewhat startlin g figure of £1,213,000
on property tax aloe. Still the buoyancy with
which every reduction of a tax or duty is speedily
repaid to the Exchequer is most encouraging to our
financiers. It is plain that we shall look in vain
for any considerable reduction this year, but there
is no reason whatever to regret the steps already
taken towards lightening the public burdens. The
tea duties, indeed, are in a fair way to
atone for the sixpence taken off by the
increased consumption of the article, and
we shall find the same compensating principle
at work -in other quarters. Thus the estimated
receipts from stamps were £9,290,000, £290,000
having been allowed for the reduction of the fire
insurance duty, whereas the stamps have brought
in £9,560,000, this being £270,000 in excess of
the estimate, or more than repaying the whole fire
insurance reduction by £lO,OOO ! It will be always
the same in matters of this kind, where heavy
burdens not only depress the energies of the people,
but hinder enterprise and cramp their industry.
The principles of free trade freely applied are
directly profitable to the financier who has courage
to resort to them, as they are conducive to the
comfort and stimulating to the progress of the
people.

Her MAJESTY has sent an autograph letter to Mr
PEABODY, which will afford great satisfaction to the
public in general, and more especially to those who
have had time and opportunity to judge of the ex-
cellency of that gentleman's works. Queen-VICTORIA
in her selection of the favoured
is
seNv alwayswho are honoured happy
yred by those communications ;
but we venture to assert that seldom if ever has she
fixed upon one more deserving of the honour of
princes and the homage of the great than Mr. PEA-
BODY. Her MAJESTY expresses her wish that Mr.
PEABODY should not leave England without being
assured " how deeply she appreciates the noble act
of more than princely munificence by which he has
sought to relieve the wants of the lower classes of
her subjects residing in London." Very truly does
her MAJESTY declare that it is an act wholly without
parallel, and also one which " will carry its best
reward in the consciousness of having contri-
buted so largely to the assistance of those who can
little help themselves." Still it is always of conse-
quence that those who are placed in responsible
positions should show by their approval that they
recognise and appreciate the works of those who
exert themselves in the high and holy effort to im-
prove the social condition of their brethren. It
may well be said that the harvest is plentiful, but the
labourers are few, and all honour to those who join
the faithful few. It may be said that only a limited
number can have means at their command to effect
great objects, but how seldom do we find the dis-
position to give largely among those who are the
most largely endowed with this world's goods. We
rust the example set by Mr. PEABODY will be fol-

lowed hereafter, if even only in a small degree and
to a lesser extent, for benefits cannot fail thus to
accrue to the classes who so greatly need assistance.
In every respect we are glad to find this passage in
the QUEEN'S letter:—" The QUEEN would not,
however, have been satisfied without giving
Mr. PEABODY some public mark of her sense
of his munificence. She would gladly have
conferred upon him either a Baronetcy or the Grand
Cross of the Order of the:Bath, but that she under-
stands Mr. PE ABOBY to feel himself debarred from
accepting such distinctions." Her' MAJESTY feels
naturally, under these circumstances, that nothing
remains for her but to give Mr. PEABODY an
assurance of her personal feeling in the matter,
and she seeks to mark this by asking him to accept
a " miniature portrait of herself, which she will
desire to have painted for him, and which,
when finished, can either be sent to him
in America, or given to him on his return, which,
she rejoices to hear, he meditates to the country
that owes him so much." This graceful letter does
honour to the gracious lady who has written it, and
also to the generous recipient of it. Since her acces-
sion to the throne the QUEEN has distinguished her-
self for nothing more than the deep interest she has
always taken in the welfare of her poorer subjects,
and thus she can of course enter fully into the meri is
of one who, like Mr. PEABODY, has done so much in
their cause.

After many contradictions have appeared respec

ing the various rumours of. war between the two
great Germaa Powers, we find ourselves again face

to face with assertions which seem to reiterate the
likelihood of the occurrence. At Vienna, yesterday,
the journals declared war to be inevitable, and one
sign of the times may be seen in the fact that ex-
tensive contracts for the supply of corn have been
entered with the Credit Austadt, which institution
may probably become a Government Establishment.
In Paris the state of things in Germany is the chief

topic of conversation, and the Constitutione
declares that in any case France is safe
thanks to the wise policy which has been
adopted. La France mentions that all is
being prepared for the emergencies of war, and
that commanders-in-chief are already appointed
Certainly this looks as if things had proceeded to
extremities, and as if diplomacy was put aside for
a military solution of the problem which has per-
plexed for so long a period the two nations. As for
Prussia, with her various manoeuvres, she does not
seem very likely to prosper. It is stated that Herr
BISMARCK'S attempt to get the assistance of the
middle States of Germany has been a complete
failure. If so, it is an ominous commencement, and
as a failure at the outset is always a very
bad thing, we may auger ill for his future
tactics. In reply to the Prussian Minister
the several Governments have stated that the
Federal laws would be " contravened" if they were
to espouse eithei side in the dispute that is now so
imminent. It is also mentioned in some private
communication from Berlin that the Austrian Am-
bassador at Berlin, in an interview which he held
the other day w-- -
;th ount BISMARE, asked, in very
C
earnest language, for an explanation concerning the
military preparations of Prussia.
~
All these items of intelligence may
the idea already so prevalent of well confirm
disturbances tak
ing place, and indeed we can hardly see now
how peace is to be preserved, for neither Power is
likely to draw
,
back and to make concessions
in the face of
many lookers-on who are eagerly
expecting the commencement of hostilities. It is
one thing for comprOmises
charges to take place,
when taollbies
emovaderee,dabnd
by
the
veil of diplomacy, and a convenient air of mystery
can be imparted to the affair, but it. another
-
thing for Governments to retract theircil assertions
and forego their demands when preparations have
been made to let slipthe-dogs of war, and all Europe
is ringing with the exciting intelligence. It is
amus-
ing to notice the tone taken by the N.,tional Zeitung