The Sun.
London, England, 1857-01-06 00:00:00

LONDON, TUESDAY, JANUARY 6, 1857

Last week we pointed out the nature of
the fiscal reforms which equity and policy alike
demand ; we now resume the interesting subject
in accordance with the pledge then given.

The first point to be ascertained is the amount
required for the exigencies of the public service.
This we shall take at something more than was
required before the late war. Fifty-two millions
were generally considered sufficient for every
purpose. But as we do not wish to " stint the
Exchequer," and earnesty desire to maintain our
Naval and Military Departments in a state of
complete efficiency, we shall allow for expenditure
fifty-eight millions, and more than three millions
as 'a margin to cover any deficiency that may
occur in the new financial path on which we are
about to enter. Sixty-one millions sterling mast
therefore be provided for the servic3 of the year
1857-8, and the ways and means ity which that
sum may be realised must be fully considered
before the nature and extent of the relief to be
granted to the industrial population can be deter-
mined.

Of this sixty-one millions nearly one-half, or 30
millions sterling, should be raised by direct, and
tht, remaining moiety far the present by indirect, or
as it may be denominated "industrial," taxation.
In granting an enlarged and comprehensive Pro-
perty Tax, in which no exemptions should be
recognised or allowed, it would only be fair to
abolish all minor charges that press unfairly on
some descriptions of property, while others escape
scatheless from the visits of the tax collector. We
should then immediately abolish the Land and As-
sessed Taxes, amounting altogether to 3,136,377/.
ss. 10d., and with them the tax on Legacies and
Successions, which last year realised 1,699,3461.
117 s. 10d., and also stamps on Probates and Let-
ters of Administration, 1,151,526/. 9s. 3d. These
imposts come in the most oppressive form. At a
time that the father and provider is removed,
when his business may be involved in confusion
for want of his directing hand, the Government
makes a heavy demand, which occasions consider-
able law costs, and but too frequently reduces the
widow and orphans to considerable distress. Far
better that there should be an annual charge,
that, in place of large payments exacted at the
most inconvenient periods, would spread the
amount over a series of years. It would be more
beneficial to the revenue, and far less injurious to
the contributors in general. It would also be
fairer, inasmuch as the property of corporations
would be bound to contribute its just quota to the
national exchequer. In return for the enlargei
Property Tax, then, there should bo surrendered
various imposts, producing, in 1855-6, in the
whole, no less than 21,146,4081. Os. 4d., that
is to say—

Property Tax 415,159,457 14 5
Land Tax 1,157,525 0 1
Assumed Taxes 1,978i552 5 9
Legacy Duty 1,699,346 17 10
Probates and Letters
of Ad atiuieti ation.

1,151,526 9 3

Total £2.1,146,408 9 4
The additional charge on property would. there-
fore amount to something less than nine minions
sterling, a charge that would be fully recompensed
by getting rid of the many serious inconveniences
that attend do many different claims, all of whieh
may be attended with cost and annoyance.
We calculate, then, on obtaining from the im-
proved Property Tax thirty millions sterling.
This, at first sight, may appear a startling sum,
but the land of France contributes a still higher
proportion, or nearly 7-12ths of the entire re-
venue, to the national Treasury. As we have

already stated, we assume the accumulated and ;

realised property of the country to be worth, for
taxable purposes, six thousand millions sterling.
We have no doubt that it might safely be taken
at two thousand millions sterling more, but
allowance must be made for the evasions which
for time at least may be anticipated. On this
six thousand millions there should be charged
one-half per cent., or 1 2-sd. in the pound.
Not a very onerous burden when it is inclusive of
all other demands on the part of the State, and
provides for the protection and security of the
owners. It would not fall so heavily on the
owners of house property as the present varied
charges—and would be a great boon to the an-
nuitants and others who have but limited inte-
rests in their estates. In fact, none could justly
complain, for the owners of unproductive property
might, if they pleased, convert it into what would
add to their annual income. If they did not
choose to do so, it might reasonably be considered
as an article of luxury, the fittest subject for
taxation. There should, as we have stated, be
no exemption. Even the poorest proprietor
would cheerfully pay—and he might well do so
when the relief which he would obtain by the
remission of other indirect imposts are taken into
account.

It may be said that it would be very inquisi-
torial, but certainly not so much so as the present
vexatious prying into profits of trade or labour.
In the latter case there must be a searching exa-
mination of books. The secrets of a man's busi-
ness may be disclosed to a rival in the same line.
His credit may be blasted, his ruin brought
about by the very means adopted by the Govern-
ment. All that can be required, in the former
instance, is a fair and candid disclosure and an
honest valuation of the actual capital which could
be forthwith realised. Frauds may, of course, be
anticipated, for we do not believe that the wealthy
classes possess a greater amount of honesty than
their humbler brethren. But in fixing the
taxable amount of capital at only six thousand
millions, we have made ample allowance for all
the evasions that may be attempted. Numerous
objections may, and doubtless will, be put for-
ward ; but we shall be fully prepared to answer
everything that may be alleged against the
scheme, and to demonstrate its feasibility, and
that, as far as attainabls, it is fair and equitable
to the entire community.

The sixty-one millions then would be produced
in the following manner; and it will be seen with

a fair margin :

Property Tax

Customs

Excise

Stamps
Post-office

. £30,000,000

14,500,000

10,800,000

Crown Lands .
Miscellaneous .

1,580,000
2,800,000

420,000
1,000,000

£61,100,000

Here, then, is an income cf nearly sixty-two
millions obtained from ordinary sources, within
❑ine millions of what was realised during the
financial year which terminated on the 31st March
last. And it only remains to show the nature of
the relief afforded to the public, and also that the
estimated sums would be obtained for the Exch-
quer. We have already explained how it would
he returned cn the Property Tax, and may now
direct attention to the indirect charges.

The Customs last year realised 23,213,797/. We
take it to produce 14,500,0001., which would be a
diminution of nearly eight millionsand tilrec .quar-
ters;arill a considerable step in the direction of free
trade, in which further progress may be made
ere many years have elapsed. For this purpose
we would retain but six items, viz., spirits, sugar,
tobacco, tea, coffee, and wine. All the others
should at once be abolished, namely, the duties
on butter, cheese, corn meal and flour, currants,
figs, gloves, hops, oranges and lemons, pepper,
raisins, rice, silk manufactures, tallow, wood, and
timber, and a variety of minor charges classed
under the head of " Miscellaneous.' From spirits,
which now produce 2,472,6491., we should
strike off one•fifth of the duty, or 3s. per
gallon, allowing it to remain at 12s. per gallon.
We do not offer this concession to spirit drinker=.
There is, in fact, no limit to the charge, but
the desire to prevent smuggling. It is cer-
tainly below the mark to assume that two
millions would be obtained from this source.
Sugar and molasses " the corn of the
tropics" —we should be more disposed to
favour, but the producers and consumers should
for the present be contented with a reduction of a
third of the present charge, which, having realised
to the Exchequer last year 5,223,5301., might
safely be taken at 3,600,0001. "Tobacco and
snuff' are the articles that afford the greatest in-
ducements to the contraband trader. Dr. Bow-
RING once stated in the House of Commons that
there were no less than 480,000 people engaged
in smuggling tobacco into the United Kingdom.
By reducing this duty to one-third of the present
amount, or is. on unmanufactured tobacco, we
should remove the demoralising temptation, and
obtain at least a double consumption of duty paid
tobacco. In place, then, of 5,006,698/ , we
might reasonably calculate on obtaining3,soo, 000/.
In tea, which last year produced 5,802,0861., we
should at ls. par lb. expect to receive at least
four millions, while coffee, which produced
587 636/., would, at two-thirds of the present
charge, give 400,0001. The redaction of the
duty on wine from ss. 6d. to 2s. 6d. would
greatly stimulate consumption, and cement the
French alliance. In place of realising 1,856,1201.
we might reasonably calculate on a million.
Thus, then, we make up the required sum from
Customs—

Viz~ spirits

Sugar and molasses