Wauwatosa news. [volume] (Wauwatosa, Wis.) 1900-1948, 1909-12-24
CHARITY AND COMMONS WRITER
GIVES VIEWS AS TO PROPOSED
FINANCIAL PROGRAMME
NOT RADICALLY SOClALlSTlC.
Deficit for First Time in Years Brings
Parliament Face to Face with
Financial Problems.
QUESTION OF TAXES PARAMOUNT
BY MARY BROWN SUMMER.

1909 to March, 1910. For the first
time III many years there was Il deficit
IN the treasury, amounting TO ahont E16,-
Wuoo, due 10 expenditures for the ex-
tension OF the navy and for old age peu
Sions. Lloyd Georges proposals for
meeting this extra expenditure were of
such character as to bring on his party
the charge of having abandoned their OLD
liberalism and embraced the principles of
socialism
The ordinary sources of taxation in
England are stamps and licenses, direct
taxes on land and house. income and in
heritanCe, and indirect taxes on motors.
tea, sugar, spirits and tobacco, In order
10 meet the increased demands on the
treasury, the budget proposed to steepen
all these taxes, except those on tea and
sugar. TO impose a super-tax on incomes
over touUO, a tax ON motor spirit aud
two new forms of land tax. namely, one
half penny i'll the pound on undeveloped
land and 70 per cent, on the unearned
increment of land in transfer by sale
Principle Remains Unchanged.
Though numerous and very consider
able concessions have been made on all
the direct taxes since the budget was
first introduced. the new principle of land
taxation remains unchanged. This prin-
ciple is what the liberals call fitting
the burden to the broadcast back" what
the conservatives call socialism pure and
simple, and what the labor party, in the
words of Kerr Hardie calls the first
step toward the absorption by the com
munity, for the use of the community,
of all unearned incomes whether derived
from land or capital
The conservative use of the word so
ri in 15FsN Hn sir
is simply a DOGGY used for campaign
purposes to win over to their alternative
revenue producing scheme of tariff re-
form, both those capitalist Liberals who
can be made to fear that their unearned
increment will be attacked next and
those old-fashioned persons 10 whom, in
the words of Lord Roseberry. socialism
means ''the negation of all--faith. family,
patriotism"
To the Liberals. the leaders as well as
the rank and file, the budget is, at best,
but one of that series of social reforms
of which the feeding of school children
and the old age pensions are the best
known.
Interests Wage Farmers.
Ii there is no socialism in the budg-
et;' if Keir Hardie's Interpretation Of
the land clauses was too optimistic, what
then is there in the new bill to interest
and of the most vital interest. When
the contention was made by the Con-
servatives. on the third reading of the
land clauses. that the principle of the
taxation of unearned Increment should.
consistently, be extended by the govern
ment to cover all property, the lord adj
vocate, Mr.. IRE, replied that the gov
eminent was not out for socialism but
for money; was not out for land nation
alization but for taxation" That is the
core of the whole matter.
The government is out for as much
money as possible from as many classes
of the community as possible with as lit
tie friction as possible. Some friction
was inevitable. and it seemed eXpedent
to bear the protest of the landowners on
the imposition of light burden, In order
to conciliate the workers representa-
tives. and under cover of the admission
of principle. to impose upon their class
a burden ''tenfold that of the landlords. ="
The "br0adest back" to which Lloyd
George referred, turns out to be in the
words of Philip Snowden, labor mem
Der for Blackburn, "the combined backs
OF all the working class"
Taxes Fall on Few.
II will be necessary to 70 into some
detail in order to make the distribution
of the new burden clear. About 30 per
cent of the total wealth of England is
paid as income to IA per cent. of the
people Most of the direct taxes fall on
this class of people, and the amount of
these taxes is estimated as 50 per cent
Of the whole burden of taxation. The
new impositions were designed to main
tain this proportion. Six months of
debate in the House has, however. whit
tied away the direct taxes considerably.
Not only is agricultural land to the
rF I (IAl ~ oh
from the increment tax, but the incre-
ment on all other land is to be reckoned
by ten-year periods. and land sold be
tween the reckonings is free from the
tax for the current ten-year period. The
state has, furthermore, agreed to relieve
the landowners of the expense of valua-
ton of 100000. The tax of one-half
penny in the pound on undevcioped land
is entirely RENTED, if the owner can
show that he is spending ten pounds a
year on Improvements"
Concessions Are Made.
Other concessions have been made on
these two taxes as well az on the land
and house. income and inh eritance taxes
The final result is, according to Philip
Snowden's estimate, that the direct taxes
do not now exceed AZ per cent. Of the
whole
The difference must be made upon the
Indirect taxes. Four-ifths Of these taxes
fall on the working class, that So per
cent. Of the population among whom the
remaining 80 per cent. of the national
wealth must be divided. Three years
ago a liberal estimate Of the actual
amount Of money paid in taxes by a
working man earning ETO year-Sir
r. Grifin's average wage''-was well
Under two shiilings in the pound. The
present budget actually increases that
amount to two shillings, six pence. or
total increase in the year Of two
pounds. Mr. Asquith truly said. in
answer to the complaints Of the land
owners. that there is but one class that
receives any heavy extra burden from
the budget. and that IS the wage earners.
The much advertised principle is only
a blind to cover a new injustice i'll tax
atom.
Could Remove Tax.
Now two things could have been done
10 make this, to some extent at least. a
poor mans budget" The tax on tea
no luxury but a prime necessity to the
poor, could have been removed, aud the
taxes on other injuries could have been
imposed ad valorem. AS it is, the poor
pay five pence tax on Il pound Of tea