Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1902-04-15

| checks is slavish imitation of the
American action during the Spanish
American war"
Outside OF the House of Commons
| the income tax and the increase in the
| amount of the statement to be placed
on checks have created the most COM
ment. The man in the street is gen.
! orally voiced and angrily over these
| cases.
The chancellor of the exchequer Sir
Michael HicksBeach, rose in the House
of Commons. at 4.25 today, to make
the budget statement. He declared the
past year had not been exceptionally
prosperous. but there was nothing to
depress the country. In spite of the
lfact that thousands of workmen had
been removed from productive labor
by the war, the revenue figures showed
no diminution of business at home,
while there was a satisfactory increase
of foreign trade, and there was no rea-
son for thinking that there had been
any falling off of the consuming power
of the people.
There had been heavy slump in the
receipts from tobacco, spirits and beer,
but there was a great increase in the
consumption of tea and cocoa. The de-
crease in the receipts from spirits and
tobacco was due to the forestalment of
the duty during the previous year. He
was in the exceptional position for a
chancellor of the exchequer holding
| office during a severe war, that for two
years the revenue had exceeded his
n n ba acf lxyc
when his total deficit, including the war
expenditure of e73192,O0O for South
Africa and China, was 952, 81, 600
Proceeding to deal with the receipts
of last year in detail, Sir Michael
Hicks Beach said the sugar tax was
| most successful. 1t brought in e6,5O0,-
600 against his estimate of se5,100, 600.
The export duty on coal produced
6 1,314,000, which was also above the
estimate, while the prophets of evil
were so far from being justified that
the exports were higher than is the
case of any year, except the record
year of 1890. 1t would be difficult to
convince him that the tax should be
repealed.
Passing to the wine duties, which it
had been suggested to him should be
increased, the chancellor said the re-
cepits from wine had diminished by
C $4,000. He thought it was absolutely
impossible to obtain more revenue from
that source. The tobacco receipts had
fallen off. Tobacco was not growing
trade and therefore the revenue was
not increasing. He expected a better
yield, however, this year, as he would
again have to cope with a forestall-
ment of duty. The death duties had
produced C 1S,39S,000. There had been
a material decrease in the consumption
of beer. Possibly their customers had
not fully appreciated the diluted ar
ticle.
Though the death duties were q use
full life buoy to the chancellor of the
exchequer, the real ship which bore
him through the seas of national
| finance was the income tax which, last
year, yielded G54,S00,000, or 6 1000, 600
| above the estimate. This fact led him
to hope that though the tax was a
heavy burden that the instances were
not quite so numerous as many people
believed.
The account of the national debt was
| not so satisfactory. 1t now stood at
| G 747,S06.000, the funded debt showing
an increase of s5S,00O.000, chiefly due
| to the consols loss of last spring. The
cost of the war for three years was
c 165, 034,000; but, in addition to the
hope of repayment from the wealth of
| the Transvaal, there was their share
| in the Chinese indemnity, which was
| q very valuable asset and would prob
! ably be devoted to a reduction of the
| war debt.
The Nationalist members ironically
cheered the reference made by the chan
cellor to the Transvaal.
After touching on various details, the
! chancellor estimated the expenditure for
| the coming year at e174.GC9O00. The rev.
enue on the present basis of taxation was
| Eli, 5000, leaving a deficit of f26 1924
| 900. This would be increased by Els 5l0,-
coo by gratuties to the troops and bring
| ing the soldiers home the maintenance
of the South African constabulary and
| the cost of the international sugar con-
Vention, etc. making a gross deficit of
upwards of G4.o0o009.
War was a costly thing to wage. and
a costly thing to terminate After the
war was over there would be the great
| expense of the relief and re-settlement of
| the two colonies. and the restocking Of
| farms.
The chancellor proposed to suspend the
sinking fund, reducing the deficit by Gf,
900, and to increase. by a penny in the
pound the income tax, yielding f2.D, 600
increase. From July l, there would be q
penny to two pence stamp duty on sight
bills. including dividend warrants and
checks yielding G5G0.oG0
After mentioning that he did not pro-
pose to interfere with beer. wine. tea and
sugar the chancellor said he must select