Arizona republican., 1915-09-22
British Chancellor Intro duces List of ENpendi- tureS in House of Com mons Amounting to Twen- tv-fiVc Millions Daily
WILL ISSUE CALL
 FOR ANOTHER LOAN
Most Drastic. Far-Reachin9. Taxes iii Coumtry's His tory to Be Imposed-Thc Budget Certain of l nan imous Adoption
IAssocIArEp PRrss pIspArcnI

LONDON. Sept 2l-The greatest war budget in the worlds history. was introduced in the house of commons bN Reginald McKenna. chancellor of the ,.Nchequer. as another step in financing ;he war. will cost Great Britain nearly twenty-five million dollars daily The chancellor said it would occasion call for another loan.
 New military requirements and changed methods of warfare have ere .tted overnight additional expenditures not reckoned even in the comparative ly recent estimates Of David Lloyd George. munitions minister, necessitat- ing in this budget. the third since the outbreak of hostilities, the most drastic and far-reaching taxes in the history of the country. involving even free trade one cent mail will be abolished entirely and weight heretofore carried at two cents reduced. The general de- hate is yet to be held. but it was ap- parent that McKenna's suggestions We're received by a virtually unanimous house
 McKenna's opening sentence left no doubt as to the drastic character of the measure he was about to recommend.
 ~I must ask the house of commons he said. 10 sanction great and unpre- cedented burdens. l am confident if the proposed taxes are assented to by the house they will be accepted by the country.
 Emphasizing the difficulty of fram- ing estimates iE time of war, Mckenna gave the revenues and expenditures as accurately as he was able to do He said the revenue for the current year would be 272.000.OO0 pounds and the expenditure one billion five hundred million rounds.
 our national wealth is great" he continued. and this debt will not crip- ple our resources. but we must not over look the strain which such an ex- renditure will impose on our sources of supply. II may be necessary to borrow again
 Referring to the gigantic total of ex- renditGres. the chancellor said the navy was costing 19O.O00,0 900 pounds. and the army 15.000. 0Og pounds The country also had to bear external ad- vances amounting to 423,bO0. .000 pounds. The total daily rate of expen- ditures would be upwards of four and one-half million pounds in the latter bart of the year and might reach five millions
 Ordinary services. he said. absorbed i10.o00,0o0 pounds excluding the army and navy, but including the provisions Of the national debt
 There is no record or a nation hay Ing voluntarily accepted a burden bear ing so high a proportion to the total national income for which provision has been made for single year." he said The new taxation he had to pro- Dose will satisfy neither the strict free trader nor the scientific tariff reform CT He pointed out it was necessary fo impose tax for purposes purely temporary and without regard to the permanent effect on trade Considera- ton must be given rates of foreign ex- change and imports must be restricted.
 If by taxation we can restrict i'm ports. reduce consumption and bring in revenue. he continued. we shall have found an ideal fiscal system
 AS usual with British chancellors. the main standby of McKenna was the in- come tax. He proposed. he said. to add forty per cent to the existing income tax rate combined with improved ma chinery for assessing employees and re- heving cases in which there had been a falling off Of income of more than len per cent In addition to reducing the exemption limit. a far reaching all terstion was proposed. permitting pay merts ny half yearly installments For employees of all description both as sessment and collection is to be quar- terly.