Martinsburg herald. [volume] (Martinsburg, W. Va.) 1881-1920, 1918-09-14
WAR TAX ARTICLE NO. 10

ed TO finance Americas share of the
world war during the coming fiscal
year, is the greatest piece of lesis.a-
ton of the kind ever attempted by
Congress of the United States. II tou-
ches probably every taxable source
and is intended to place the bulk Of
the burden where it belongs and make
every citizen share the cost of the
fight for Democracy.
Far reaching and inclusive, vet the
tax burden is said to be not as heavy
as that upon the people of England
1t is also claimed it will not work the
hardship nor demand the self sacri-
fees which has fallen to the lot of
either the English or the French.
The American people may appre.
ciate it. more fully and they may un.
derstant more clearly the part they
are taking financially by giving pass.
ing notice at least, to the days in
which the Allied countries of Europe
and particularly England, have raised
their war revenue.
The tax laws Of England have ever
been more severe than those of the
United States 1t Is only natural
then, that England's war taxation
should be proportionately heavy. 1t
must also be remembered that Eng
land, being so near the fighting zone
and surrounded by waters infested
by enemy submarines has had her
commerce embarrassed and her rich
import duties, once the heaviest in
the world, somewhat reduced. In adj.
dition TO that the demand for man
power for the army has taken from
factories the labor. Home industry
has been paralyzed.
England has. therefore, been com
PEELED to rely almost entirely upon
loans-foreign and domestic-arrd
upon system of internal taxation
upon incomes, excess profits and lux
uries The same is true of France
and the ether allied countries.
English income and profits taxa
tion has been classified under 1--WE
schedules as follows: (a) Landlords
Property Tax. Obj farmers Tax
(c) Tax on holders Of government Sc
curieies. td) Tax on business pro,
fits, professional incomes and on sour
ces of income not included under any
other schedule (e) Tax on salaries
tof public officials and employees.
/ The properties, profits and gains
on which income tax is payable and
which fall under these schedules are
subject to an assessment on every
pound sterling of their value.
Under the first schedule, every per
son deriving an income from property
is taxed, these taxes being payable
by the person occupying the property
in question
The second schedule, or farmers
tax. is almost identical with the first
except that the taxable value OF the
land is fixed by law instead of the
tax being levied against the actual
income derived from the land.
All incomes, whether in the form
of interest, annuities. dividends, or
shares of annuities arising out of any
public revenue, are subject to taxa
ton under the third schedule. The
tax is assessed at its source, before
the taxable incomes reaches the tax
payer, upon the persons and corpora
tons entrusted with the payment Of
such income. Interest on certain war
loans are exempted under the sched-
| ule.
The tax on business profits, profess
sional incomes and on incomes not
included under the regular schedules,
practically every source except the
incomes of charitable trusts and or
CARNATIONS and certain trade unions.
The tax rate is varying according TO
circumstances.
The rate is applied to all incomes
Exceeding 1870 pounds year. with
certain attachments which decrease
proportionately as the incomes in
crease. The abatement is more gem
erous and the rate lower upon earn
ed incomes than upon those which
are unearned.
The incomes of men in the army,
navy and Red Cross are also subject
to taxation. but in these cases re-
duced rates are made.
Under the fifth schedule fall the
incomes of all employees OF the Crown
as well as of all ecclesiastical bodies.
The income taxable under this sche-
dule is not merely that received in
payment of current services, but also
all anmuitips .lenSions Stinends and