The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1902-04-15

y
revenue had exceeded his anticipations
the last year by 9543, 600 ($2,715, OOO). when
his total deficit, including the war ex-
Ipenditure of e73, 900 for South Africa
and China, was a52, 544 0OO
Sugar Tax Most Successful.
Proceeding to deal with the receipts OF
last year in detail, Sir Michael Hicks
Beach said the sugar tax was most sue
cessful. 1t brought in 96,50O 900, against
his estimate Of 95, 100, 900. The export
duty on coal produced 81, 1000 which
was also above the estimate, while the
prophets of evil were so far from being
justified that exports were higher in the
| case of many years, except the record
year Of 1899. 1t will be difficult to con-
vince him that the tax should be re-
pealed
Passing to the wine duties, which it had
been suggested to him should be increas-
ed, the chancellor said the receipts from
wine had been diminished by G38, 000 He
| thought it absolutely impossible to OBJ
tain more revenue from that source. The
| tobacco receipts had fallen off. Tobacco
was not growing trade and therefore
the revenue was not increasing He tX-
pected a better yield, however this year,
as he would not again have to cope with
forestallment of duty.
The death duties had produced els. 398. 4
| O00 There had been a material decrease
in the consumption of beer He had seen
it set forth that the brewers were cover
ing the higher duty by decreasing the
gravity of their beer. Possibly their Gus
toners had not fully appreciated the di-
luted article.
Though the death duties We're a useful
| life buoy to the chancellor Of the ex-
| chequer, the real ship which bore him
| safely through the stormy seas of ma
tional finance was the income tax, which
last year yielded G34, 100000, or 81,CO0, goo
above the estimate. This fact led him TO
| hope that though the tax was a heavy
burden in some cases, such instances were
| not quite so numerous as many people be-
| lieved.
The condition of the national debt was
| not so satisfactory. 1t now stood at
| 4e747, SEQ, 000 the funded debt showing an
increase Of 95S, 100000. chiefly due to the
| consols loan of last spring.
| Expense of TransvaaI War Heavy.
The cost of the war for three years was
G165, 034, 600, but in addition to the hope of
repayment from the wealth of the Trans
vaal there was their share in the Chinese
| indemnity, which was a very valuable
asset and would probably be devoted to a
reduction of the war debt.
The Nationalist members ironically
cheered the reference made by the chan
I L
After touching on various details the
chancellor turned to the prospects Of the
future He estimated the expenditures
fer the coming year at 9t74C0J.999. The
! revenue on the present basis OF taxation
| was 3147, 7850t0, leaving z deficit of e2e-
| 1913, coo. This would be increased by e18-
| EGO, coo by gcatUities to the troops and
bringing the soldiers home. the main
| tenance of the South Afric1a copstabu-
| larry and the cost of the international
sugar cony ention, making q gross deficit
| Of upwards Of G45, 000.) 300
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 resettlement
| of the two colonies, and the restocking
| Of farms. He hoped that, when durable
| peace was made, parliament be gener-
Gus and loan money for restocking the
| farms, not only of those who fought on
| the British side, but Of those who had
been hostile to England and whom they
| now hoped to make friends and for
| railways and other Improvements to
serve to develop the two countries. 1t
! was his view not to take a rosy view
of the case, but to prepare for the
worst. He had hopes of a happy result
| from the conference in South Africa
| but he had put them aside. Prepare
ticns for the continuance of the war
| were the best guaranty of peace.
The chancellor report proposed to sus-
| pend the sinking fund, reducing the de-
| felt by ga, 100000 and to increase by a
penny in the pound the income tax,
| yielding 100000 increase. From July
| 1 there would be a penny to twopence
| stamp duty on sight bills including div
| idends, warrants and checks, yielding
| $500 900.
Expenditure of Country Increased.
After mentioning that he did not pro-
| pose to interfere with beer, Wine tea
and sugar, the chancellor said he must
select for indirect taxation an article
| practically in universal consumption,
the taxation of which would not unduly
The ordinary expenditure of the coun-
| try, quite apart from the war, was
greatly increasing, and in view Of the
ever growing expenditure for armies and
| navieS in other countries, he thought
it desirable to frame some scheme of
taxation under which, when peace re-
turns, there would be no difficulty in
settling the country'S finance system
on a basis equitable alike to all the tax
payers Of the country. He was Of the
opinion that the appeal by the late Mr..
Lowe of the import duty on wheat had
not realized the expectations formed at
the time.
The effect of a duty of three pence per
hundred weight on wheat would mean
but a very small fraction of a farthing
increase in the price Of the loaf, and the
competition of the bakers was SO keen
that anyone trying to raise the price Of
bread on such a ground would probably
The chancellor of the exchequer denied
that the registration of duties on grain
and flour violated the principles of the
country's trade or would increase the
cost of food.
Import Duty on All Grain.
He thought the duties had been reck.
lessly abandoned and declared their mis-
sion did not reduce the price of food.
He, therefore, proposed an import duty
of three pence per hundred weight on all
grain, with q correlatiye duty Of five
pence per hundred weight on flour and
meal. The total yield of this duty was
estimated at G265O.0n, bringing the total
estimate of the revenue from the new
taxation to E5,15U.00O OF the balance of
| the deficit the chancellor proposed to