Pioneer press. [volume] (Martinsburg, W. Va.) 1882-19??, 1914-05-09

LONDON. May -.--David Licvd-
George, CHANCELLOR of the excheqrcr
las introduced the. budget in ,,.,
'Ouse of Commons and estimated the
Cchcit for l914-15 at $26,65O, 900. Add
Dig certain charges not include in
ihe budget he showed that it would
Ec necessary to Increase the national
income for the COMING year by 3d.
IGo 900. III. Lloyd George plars 70
RI Sc this money bv material in.
crease in the income and the dcatS
duties. H'H new income tax ra:c
would be graduated 10 a maximum Of
.tearly II per cent and the Icl.h
duties to a maximum cf 20 per cent.
The cha'- -cellor a5sc announced h
plan TO reduce the taA burden on i'm
Nr"Vcc property in proportion tU tie
amount spent for improvements.
Tax en- Large incomes.
This iHlitit alon,, the cha lcnI:tr
sail 'nIPkeS new taxation inev..aIIe
hut in "uuition thereto the govern
mcnl Das come to the conclusion lllt
N Ordcr to save sOrle municipalities
ON bankruptcy, there must be re-
adjustment in the relations Of i'm
perial and local taxation. These will
entail large additional expenditures
by the eXctequer.
1--WE propose to set up a national
system of valuation under which site
values Will be separated from int
provement values and under which
lelief will lie afforded the man WHO
improves his property in proportion
70 the amount he expends to this end.
These proposed grants of relief to
'ochl ta"at'On for pa, loses of pubIic
E"alth, education ana road construc.
ton vii entail an additional expcr.
ditura by the exchequer Of $21,0)),-
900. Allowing a margin Of $1,000, 900,
we shall have to raise a total of
abor" $49,0OO0Oo.
ETC meet this we propose a revision
Of the income tax. The existing law
on earned incomes up to $1,000 a
year would Temain unchanged. on
incomes between $1,000 and $500
The tax would be 10 I'D on the pound
sterling approximately $42 on every
$1,000; on incomes between $500
and $4,000 year the tax would Is
approximately 4.8 per cent?; from
$4,000 to $12,500, lad CSC per cent?:
while from $12,50O to $4,000 the rate
would be 16d (6.4 per cent. The rate
on unearned incomes would be rails
ed to 16d (64 per cent?
20 Per Cent Death Duties
"The allowance for children Of par
ents whose incomes do not exceed
$4,000 year would be double1.
There would be supertax OH in.
comes Of $4,000 year and upwards,
instead Of this srpertax beginning,
as at present, with incomes Of $1,000
year.
with this new graduated scale Of
income tax rates rising finally to I'D
in the pound, the il tal income tax
in certain cases woLll be as hig1 az
32d (21.8 ler cent )"
The clar cellor declared he propCs-
cd to reach Eng';shmen who made
investments abrca1 II order to es
cape the in c)n!c ,a& and he SAID tha,
the death duties on estates over $780,
900 would undergo a graduated in
crease until the maximum would be
20 per cent instead OF 10 per cent,
as at present.
The chancellor estimated the in
creased yields from these changes as
follows:
Ordinary income tax, s26,250,o0o;
Investments abroad, $1,250,000; sup
ertax, $12,5O0,0O0; death duties, 3d.
25O,O0O; settlement Of estate duties,
s75O,000.
The total from these sources S
s44,0O0,O0O This leaves s5,OOO,OOO to
be found, which the chancellor pro
noses to take from the sinking fund
surplus