GRADUATED INCOME TAX IN SWITZERLAND.

Temuka Leader, Issue 1750, 14 June 1888, Page 3

GRADUATED INCOME TAX IN SWITZERLAND.

', In a paper read before, the Eoyal Statistical Society by Mr R. H. Palgrave; on " Progressive Taxation as levied in Switzerland, Cantons Basel-Stadfc,,Yaud and Uri," he stated that in Switzerland the system of progressive taxation both on property and income is in force in 15 of the cantons of the Confederation. Some fax both property and income on this basis, a few income only, one (Geneva) property alone. In Basei-Stadt the methodhas been in force since 1840, the present arrangement dating only from March 1887. In canton Vaud the existing law dates from December 1886, and in canton Uri from May 1886. The population of these cantons was in 1880 : Uri, 23,694; Basel-Stadt, 65,101; Vaud, 238,730. Canton Basel-Stadt is the smallest in territory of the separate States of Switzerland. Its extent is little more than 22 square miles, and its population* is practically-confined to that of ithe city of Basle. The cantonal taxes were £121,200 in 1881'; or about at ■the rate 65,000 inhabitants. The number of the taxpayers is much more limited, being less''than 8000 > in 1884. The taxpayers are divided into, classes according to-the amount of their property and income. The incomes •deriyqd-'from property are charged at different, rates from those derived from The. tax commences at incomes of £4O a year, but while \£4Q derived from property is charged '£l 2s 6d a year, £4O derived from .eUrnings is charged 6s Bd. The rates varv as the income increases. Thus v £24o a year from property pays £l2 6s Bd, and from yearly earnings £5 19s 2d. Incomes ten times as large pay a great deal more in proportion : thus £2400 from property pays £250 a year, from yearly earnings £136. Over £240 a year the rate is scarcely progressive. In canton de 'Vaud a somewhat similar system prevails. But in the case income derived from earnings there is a very curious modification of the assessments according to the number of children in the family. A bachelor is charged ■the most; ,a married ,man, without ifamilyV somewhat less; the parent of one child at a lower rate. The scale is graduated down to the happy father of 12 children, and it works out thus: While a bachelor has to pay a tax if he possesses an income,of only £2O a year,'tnough it is true-he is Called uponrto contribute only If, say 9d, annually to the State, the married man ddes not Degin to pay till he has £'4o a year, out of which he has to pay Is 6d, and the father of 12 children is. not taxed till his income amounts to £3OO, and on that he contributes 17s 3d (seventeen shillings and three pence) annually, while the married but childless man with the Bame income pays £4l4s 6d, and the bachelor £5 2s 3d. In canton Uri progressiveness of the Bcale is less severe. At the highest point the tax compares broadly with the English income tax at 5d in the pound.