New-York tribune., 1908-12-26
BUDGET LEGISLATION
Political ManeuUres = Possibly a
Momentous Struggle.
london naes-h.


Has Mr. Asquith given the signal for mo-
rnsntous constitutional struggle? His most en-
thusiastic followers assert that he has dons 50
in proclaining the question Of the Lords veto
as the dominating issue in politics They may
be right but as the suffragettes are in the habit
of saying when they interrupt Liberal orators. Il
is a matter Of deeds, not words Is he prepared
to translate into action the emphatic renon-
STRANGE against the Lords veto upon legisla-
ton which his predecessor introduced and ths
Commons adopted by overwhelming ma
iorftv7 This will not be known until the next
budget Ia produced and the efficiency OF hna1-
ciaI LEGISLATION as means OF disciplining the
hereditary chamber is tested Yet IL Is evident
from the violence with which he IS attacked by
his opponents that he has outmanosuvred them
and obtained marked strategfcal advantages %
position The Lords are not defenceless- They
NAV not amend. but they can reject the budsss
outright and force the government TO appeal 70
the country That is a constitutional right tos
which there are precedents. although none of re-
cent date Yet the existence Of the Commons "a
a responsible body Of lawmakers depends upon
the taxing powers. and the country VIII 70
pretudiced against the Lords on 50 sweeping
challenge.
II the government attempts to make full use
Of the leverage OF finance and the Lords retail
ate by throwing out the entire budget. there VIII
premacy Of the general electorate over the priv
iIeged chamber II is not likely to occur over
the extension Of principles which have already
been sanctioned by both parties The Chance-
1or Of the Exchequer Is credited with the iaten-
ton Of introducing graduated income tax
hearing heavily against the rich. OF largely n
creasfng death duties and OF levytng super
taxes on niIlionaires fortunes. It will be doing
to the dry tree only what has been done with
irnpunity to the green tree Sir William Har-
court introduced the first thoroughly Radical
budget and the Lords never thought OF reject
ing II His successors have added super-taxss
and strengthened the grip OF the Dead Hand:
they have also made an approach 70 graduation
Of incomes, and there has been no organized op-
position from the upper house There is not
likely 70 be a revolt against fresh exactiOus of
the same nature Radicalisrn would Edve a
popular Issue II the budget were rejected onAhat
score when money Is needed for the navy 4 snA
social reform and the ordinary resources OF
Free Trade exhausted
Nor Is It probable that the Lords VIII vent
ure to take this extreme action in consequence
OF a large increase OF license duties They re-
tected the licensing bill with little ceremony
and earned the gratitude OF all Interested IN
the drink traffic. but they could justify their
course by unrnistakable evidence that the
measure was unpopular and that series q
e
liquor trade is known TO be lightly taxed IN ths
kingdom in comparison with the American
states and other progressive countries. Higher
license duties cannot be opposed without taint-
ing the character OF the privileged house as the
unabashed defender Of public houses and the
drink evil The rejection OF the budget and the
suspension OF supplies FOR all branches Of the
public service viii be an act Of incredible folly
If decreed by another caucus at Lord Lsns-
tronted with large deficit and more money IL
rsouired the publican Is as fair game thS
n1iIItonaires and the Lords viii dtscredit them
selves II they attempt to protect him against IN
creased taxation
1t may safely be assumed that ths U1psR
house will not throw out the budget unless Il
contains drastic changes IN the system OF laro
taxation Various proposals have been ma1s
by municipal reformers for the taxation OF
ground rents, site values and vacant land. and
these have been supplemented by argument for
a general tax OF a penny on the pound for al
land improved OF unimproved. IN town or couIl-
try The Lords, the largest body OF lana
owners will be exasperRted by budget O.
rected against themselves and disposed TO throw
it out IN self-defence. Nor viii they lack pLaus-
fbIe arguments for extreme action n holding
I'D the financial administration Tho system
of land taxation as It exists to-day in the king
period. and leases. covenants. contracts OF
building companies and business interests A"e
beAn adjusted TO it. The Lords, BY insisting
rpon having a general election. can block ne
enactment of a revolutionary budget, ana i .
not unlikely that they will do It. even Il IH7'
have TO revive a veto power which toey H@s'
not exercised for over half a century 4h07e-
this result IS so probable that it is exceedingly
doubtful whether the Prime Minister usN'S
ateIy provokes so direct challenge
1t is a dtverting occupation for amateur -
ciers blessed with abundance OF leisure aa
imagination to take clean slate ana nsU O--
receipts OF E13.OOO.OO0 or even f1I'OOoVV Ir0ln
penny tax on every pound OF land Va-u@-ol-
When they have lighted their pipes over -
excursion into the region OF higher nlatl9--A
they can console themselves with the rehectOn
that social reforms can be nnanceu 81 '-'
pense Of the millionaires and land oa1ons a.
that Free Trade is safe Working poAuc-a--9 :
the Liberal side like the idea OF taxes on AM :
a substitute for taxes on bread. ana AlON ~
effectively the changes can be runs upon ). -
canvass against the tariff retorTners- = :
the administrative side that the di1ncu-''sS
arise. land tax cannot be levied "lI-0-
complex system of revaluation oased ol y
principles and as the Occupier rather Ila =
owner has been the taxpayer for centuries a
nearly all leases and agreements contain . -
naut that the tenant shall pay all rates a.
taxes it is an open question whether 'e.-1- -.
can be thrown back upon the landloFu - -,
population of contract Moreover III
rsformers have been agitating for Ions 80
| for legislation in favor Of the taxation o. -
values, unimproved property and ground 80