The Lafayette advertiser. [volume] (Vermilionville [i.e. Lafayette], La.) 1865-19??, 1909-07-23
1.-THE Unearned Increment"
Tines Democrat.


Times Democrat.
II is quite evident that new prin
ciples, as we'll as new methods, o
taxation are coming into vogu;
throughout the civilized world. Tel
years ago, the boldest prophet dared
not predict that the Republican part.
would adopt a scheme for the taxa
ton of corporate earnings. o did i
then seem possible that the idea of
national income-tax would survive
the adverse Judgment of the Supreme
Court. But. even with these changes,
we shall still be much more con
sentative than most European peo'
| pies, in matters of this sort. Mr.
Lloyd-G Georges budget, for instance,
contains proposals which are calcu.
lated to shock all but the most ex-
IRENE of our theorists. In dealing
with land, the Chancellor OF the
| Excheouer takes a long step toward
the goal which Henry George had
in view which he wrote his classic
book, progress and Poverty
The spirit of the bill is embodied
in the clauses which relate to 1.-THE
unearned increment"
Every owner of land is required
to make an estimate Of the value, as
it stood on April 30, 1909. The es-
innate must include the value of the
site with the buildings, and there must
be a separate estimate OF the site
alone. The owners estimates must
be submitted to experts appointed by
the Commissioners of Inland Revenue.
In East of disagreement, the owner
will have the right of appeal to in
dependent referees, named by the
Crown, and the value thus established
is to be final. The subsequent work
ing of the scheme is described by the
Manchester Guardian in these words:
1.-The increment tax is applicable to
all sorts of land whose site value in
the future exceeds the site value, as
registered under date of April 30.
1909. No increment of site value be-
fore that date will be subjected to
taxation. When any piece of land
is sold, passes on the owners death,
or is let on a lease for more than
fourteen yeras, the site value is
again ~ascertained, and if it shows
an increase on the original site value,
20 per cent of such increase is taken
in taxation" The purpose of the tax
is obvious enough. the great ground
landlords, like the Duke of West
minister and the Duke of Bedford,
have been made fabulously rich by
the growing Of London, though these
mobiles have themselves done nothing
to upbuild the prosperity of the
metropolis. Mr.. Lloyd-George and
economists of his school maintain that
a considerable part of this automatic
profit should pass to the public purs G
The idea is not no eel. but the prac-
tice will herald a new regime and
strike a blow at all fortunes which
have not their origin in enterprise and
industry.
If Mr.. Lloyd-G George has his way,
the rich Briton will pay through the
nose for the privileges he enjoys.
FIRST of all, he must pay, from year
to year, a tax of about 5 per cent on
his income In the event of his death,
the heirs will have to face an in
herltance-tax whichlis at least s per
cent on estates above a million
pounds. There are besides, taxes on
"ungottOn minerals" and on I'M
developed land. fhese pr3visos are
inv ed to reach owners who refuse
to q elop mining properties, or who
del rately let tracts in the neighbor-
pf great Cities lie idle. With
Ing intp more minute details, it
ednV uAC AiDCfdl
er is hunting big game. I'm
what the result would have
been I thP Astor estate had been
Value wh1n New York was a stray
Cling 1Pw4 and 20 per cent of the in
crem had been taken whenever the
whole property passed by death
or part passed by sale.
sent generation of Astors
be had quite enough to keep
the VNrom the door, but they
Won d have had a little of their ac-
tna1 hoard. The object is we'll worth
r. study of our "standpatters."
vhen q race SO conservative as the
English adopt changes SO farreach-
pg, we may be sure that a silent
rtvolution is at hand. In the course