DEATH DUTIES.

Dominion, Volume 2, Issue 613, 16 September 1909, Page 7

DEATH DUTIES.

SOME CRITICISMS AND CONCESSIONS. TAXINO CAPITAL. SUCCESSIONS AND MARRIAGE i SETTLEMENTS. - (By Telegraph.—Press Adsoclallon.—Cooyrlght.l London, September 14. Clause 40 of tho Finance Bill, enacting tho increased death duties, waß strenuous!; opposed in Committee in the Houso of Commons, but was carried, after tho closure, had j been applied, by 192 votes to 96. - , Mr. Balfour (Leader of tho Opposition) . emphasised the danger of taxing capital to r meet the country's annual expenditure. The Government spokesmen maintained that the proposals were fair and just, and I not unreasonable in comparison with tho resources of the country. Rcc. September 15, 11 p.m.) Clause 42 of tho Finance Bill, increasing . tho rates of legacy duty' and succession duty, . was carried by 192 votos to 62. • • Further conflict occurred on Clause 43 of the which contains provisions as to gifts and dispositions inter vivos, the period of 12 months being raised to- fivo years, as the n period beforo which such dispositions, must ;- havo been made, so that tho property af--0 fected may not bo included as property pass- >■. ing on the death of the deceased. The clause l. contains tho following proviso :-<• , !- This section shall not apply to any gift in- ( ■ ter vivos, surrender assurance, divesting, or disposition made or effected before April '30, 3 1903, or made or eileotcd for the benefit of any h institution carried on for purposes which in tho opinion of the Commissioners aro public purposes or, charitable purposes. 1 , Mr. Balfour remarked: If the donor within fivo years gave his property to an institution for the preservation of cats, the gift .would be untaxed; but if he gave £5000 to start ' his Bon in business, the Exchequer ' would demand its toll. . Mr/ Lloyd-George, amid cheers, yielding to the criticisms pf some Liberals, reduced 3 tho period to three years, :and exempted all - marriage settlements from the operation of V the clause. "' \'f r Mr. Balfour, commenting on' Mr. Lloyd- " George's refusal to treat husbands and wives 3 as one 'person for the purposes- of tho death 3 duties, although ho treated them as one for income tax purposes, remarked: "Having :- fined husband wife for living together, tho J. Government fines them again because they 1 did not die together." . THE* NEW DEATH DUTIES. The new. death duties, aro as under: £100 to £500 P i°'£loo,ooo to £160,000'°9 : £500 to £1000 2 £150,000 to £200,000 10 £1000 to £5000 3 £200,000 to £400,000 11 - £5000, to- £10,000 4 £400 000 to £600 000 12 £10,000 to £20,000 5 to £800 000 13 £20,000 to £40,000 6'- £800,000 to £1,000,000 14 £40,000 to - £70,000 .. 7 Over £I,ooo,mC™ 15 £70,000 to £100,OCO G Other points of the' new schedule ;in the ® Finance - Bill are as follow j Settlement of estato duties'raised,from Ito j 2 per cent. .Legacy and succession duty' raised from 3 • to 5 cent, for brother or sister or their ) descendants, but 10 per cent, for'more-distant relatives. _ Exemption of lineal descendants and spouseß ) from 1 per cent, duty abolished, but in case , of spouses legacies exompted - where aggregate H Qt " or legacy not ovor and for'widows, and children Under twenty-one not over Estates handed over to a successor within' ivo years before death will bo taxed (instead' of three years, as at present). ; Land estates to pay duty on tho prico a ■ willing-'purchasor ; would give to' a willimr _ seller, /ind not on twenty*llvo years' ptirchaso. ; - Legacies of historic or scientific interest only J to pay. duty if sold. •. "SOCIALISM THE END OF ALL" . _In his last year's speech to the Liberal i indications of Lord Rosebery'a present t .attitude were writ so large that his latest pro- ' hardly be so surprising as the ; hubbub it has caused would indicate. - Thong | —ng the main points of his I , say there are considerations, and I would ; beg our.-legislators' to. reflect on those, con- ■ siderations,. which_ might drive us even from ; -1' ree-traae.' One. is . tho . enormous i pressure— i an a. the. possibly increasing pressuro-of, di- . rect taxation, which might make the nation , seek somo relief from an intolerable burden in , shifting somo of that burden' on to another , source of supply. . : 1 • ~ u°d wo shall never be driven to i 'ne formidable option between Protection and i Jio?lalism. And if it comes to a choico be- ! tween Socialism and Protection, I for one havo , no Jiositation—disagreeablo as the courso would ' tection ' 'D° hesifatiou in Inferring ProBut Socialism is. the end of' all," exclaimed Lord Kosebery, speaking with'.unusual ani- : mation, of Empire, faith; religious faith, freedom, property. Socialism is the death-blow to all.