South Bend news-times. (South Bend, Ind.) 1913-1938, 1922-02-19
IRISH FREE STATE
SIGHTS PROSPERITY
New Nation Will Launch
Career on Sound financial
Basis, Experts Say.

DUBLIN. Feb. 1S.-Leaders OF the
Free State party have high hopes
for Ireland's future, economically as
well as politically.
They expect establishment Of the
Free State 10 be followed by an
influx Of capital. building-up of firm
.ly established industries, reduction In
taxes and general peace and pros
perity.
The new nation will begin it's life
on a sounder financial basis than any
country IN Europe involved in the
World war.
Though under the treaty Ireland
will assume a proportion OF the Brit
ish war debt, this will be offset large
" by claims for damages in the re-
cent fighting in Ireland. Many OF
these will not be prosecuted as
strongly against the Free state as
they would have been against Eng
land. And they Will not carry the
interest England is paying on her
debts, and which force a 30 per cent
income tax in England and Scot
land.
Irish business men are enthusiastic
over the new prospect. Already bust
ness Is picking up in Dublin. British
investors are glad to get their money
into Ireland. apparently, and the
outlook Is good.
To Withdraw Own Capital.
It Is quite likely that there will be
large Withdrawals OF capital from
England by Irish investors, and Irish
companies. AS to the former. with
the hope OF smaller income tax, I'M
less there IS some exemption for
Irish investors-and exemption would
cause protests from dominion invest
tors because they were not included
they must continue TO see their
dividends on their English holdings
shorn OF British income tax. They
are likely TO withdraw their capital
and put II into Irish companies, with
the hope Of smaller taxes.
As to the latter, many huge Irish
companies are registered in England,
and their stock IS subject to income
tax. The Guinness Co, makers OF
the famous stout, is one. 1t has
e., co. 900 capital.
SO far there has been no authentic
indication as to what taxes In Ire
land will be. And there has been
no solution offered for Irish invest
tors. officials of the Free State
party have been so busy in effecting
the transition from British to Irish
rule that they have had little time
for internal constructive problems.
British Aid Financially.
with the prospects Of a bitterly
fought campaign TO obtain approval
OF the treaty at the forthcoming cleo
ton, they will have little II any time
TO prepare legislation.
Financial. fiscal and other legisla-
ton must be framed after the state
itself Is set up.
When tax legislation is framed, it
should be somewhat heavier than Is
indicated by optimistic reports Of a
five per cent income tax. but It
should not be more than half OF
that IN Great Britain. at least at first.
one great advantage Is relief from
the burden OF an f1S,000,00O yearly
/ contribution TO the British treasury
for imperial purposes.
A disadvantage Is the dual gov
eminent in Ireland-complete gov
ernments for north and south in a
/ country OF less than 1000, 900 people.
II will not be until. at some dis
| tant time, Ulster and the south are
UNITED that Ireland can be governed
/ with real efficiency. That was why
1.-THE recent Collins-Craig agreement,
Though II related principally to
! boundaries. boycott and railroads.
was greeted here and in England as
the most important feature OF the
new era in Ireland since the signing
OF the treaty.
Business Legislators.
Collins and Griffith and their
/ helpers are business legislators. To
the die-hards in the Dali they said
I frankly that despite any opposition
I they meant to give a square deal to
/ JTntonists IN the south and 10 Ulster
itself. They know that is the only
way TO prepare for the eventual
Iunion. The agreement was important
not only as the first meeting OF the
new leaders. but the first real meet
ing OF north and south. Ex-Pres't
/ De Valera. who met Sir James erals
some months ago. was not the man
He seldom gets farther In a confer
ence than a monologue on Ireland s
wrongs
There IS a great deal OF passion
and prejudice on both sides IN Ire
land. The only way II will be end
ed is by the sort or conference
/ Michael Collins and Sir James Craig
held-where business ia discussed
and business interests considered.
Il viii be years. probably. before
there is any sort OF political union
between. Ulster and the Free state
But II. as indicated. north and south
can live IN harmony. they should
both be prosperous. They need each
others products. and with the agree
ment viii be able 10 trade freely.
3 Ulster Is industrial, the south
/ largely agricultural Even without
union. they should both enjoy pros
lperity. The south. completely it:
own master. is able 10 look forward
10 a fight for prosperity which, while
Dc may be hard. should be victorious
swank Dyes Clothing-Main 7s1
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