THE BRITISH BUDGET.

Taihape Daily Times, Volume 8, Issue 84, 7 April 1916, Page 5

THE BRITISH BUDGET.

Cable Hews.

FURTHER PARTICULARS OF TAXATION. LONDON, April 5. An additional Id rer lb duty is proposed on sugar, yielding seven millions. The duty on cocoa, coffee and chicory is to be'increased to 6d per lb, producing two millions; on matches, 3s 6d Customs duty and 3s 41d excise on every 10,000 matches; mineral waters, 4d per gallon, yielding two millions. It is proposed to double the present duty on motor-cars up to 18-horse-power and to treble it on higherpowered machines. Motor cycles, not exceeding four horse-power, two guineas; higher-powered, three-quarters of th duty on motor-cars. The motor duties should realise £BOO,OOO. The excess profit tax is to be increased to 60 per cent.

Summing up, Mr. McKenna calculated that by March 1917, they would require to meet in an ordinary year 388 millions. Our permanent revenue was 423 millions, leaving a surplus, after another year of war, of 85 millions. When peace came they would have a margin for remission of taxation. Civil courage was as important as military courage. We ought to be able to justly claim that we were not found wanting in these great virtues. LONDON, April 5. Mr. McKenna, continuing, said it would be necessary if men and machinery cannot be found at present, to give effect to fiscal proposals, discriminating against our enemies.

The terms of Mr. McKenna's statement of the Government's intention at present, not to exact tariff taxation in connection with stifling German influence on British trade after the war has roused widespread surprise. Although in specifically mentioning tariffs concerning the Dominions, he clearly indicated that the Cabinet was at present unanimous in its attitude towards German trade. Mr. McKenna said: 'JWe have not discussed whether fiscal duties might now be properly used for controlling the direction of trade in a manner advantageous to ourselves and injuries to our enemies. My colleagues are satis-fied-that an attempt in this direction would be met with,insuperable preliminary' difficulty." ...jo• A , j i,. •,

There is speculation as to whether this decision will be final, or whether a resumption of Mr. Hughes' negotiations will_ be tbacked up Hy solid feeling in most commercial circles to induce reconsideration.

THE BUDGET DISCUSSED. v;-LONDON, April 5. |n the Budget debate, most speak—ers condemned the railway ticket tax. The debate was mainly on free trade and tariff reform lines. Sir Geo. Reid regretted that the speech did not contain an assurance of the removal of the double income tax. If the Dominions had „not borne the expense of their own troops the base of his observations would have been gone. It seemed as hard to get justice out of the Treasury as one's garments out of the teeth of a British bulldog. He hoped that when the Empire problems were considered all theorists and fiscal -maniacs would be excluded.

NEWSPAPER COMMENTS. LONDON, April 5. "The Times," in a leader on the colossal Budget figures, says that in one respect it is satisfactory in that the estimate is not higher than was expected. In the opinion of the Government we seem to have reached the limit of the scale. We considerably doubt the justification for the raised income tax, but there can be little objection to the Customs excise levies and the tax on amusements. {We think the railway ticket tax a serious mistake. The weakest feature of the Budget is its timid avoidance of the larger problem of further import duties.

The "Daily Mail," in a leader, says the Budget can be best summed up as economy by compulsion. Mr. McKenna's measures are heroic, but the public responds cheerfully. The nation expects the Government's July Budget to impose an import tariff preventing the Germans from retaining a hold on the markets. The "Evening News" says the tariffs question must be dealt with in the next Budget in July. After the Paris trade conference the nation will demand tariffs to keep the German trade octopus out of Britain as we know the Overseas Dominions and our Allies will keep it out. It is not a question of tariff reform, but it involves the protection of our children's children from the evils we now suffer. .