HomeMy WebLinkAboutZurich Herald, 1930-05-15, Page 3Britain's Huge Tax Incubus
Canadians Have Cause to Rejoice, and Say; "Lo, the Poor
Britisher, When They Consider His Income Tax
Thitt's what many editor,: think, at Chancellor of the lVIacDonald Labor
least, in surveying -the budget of Chan- Government, the London Daily Hereid,
calor of the Exchequer, Philip Snow- official organ of the Labor party, de -
Om which provides for a 221/2 per- clares that the budget "places bur
peptage of income tax, and involves, dens on broad backs." On the other
as London press dispatches advise us, hand, the Londoli Times remarks:
a new basic rate of $1,12 on each .$5 of 'The new taxes will certainly deepen.
income. the disquieting impression that the
While relatively few Britons pay the wealthier section of the community is
full rate of the income tax, cables a Merely being exploited to provide for
London correspondent vast numbers the expansion of 'social' services for
are obliged, to pay something, begin- which the appetite of the electorate is
Bing on incomes as low as $615 for not likely to diminish as long as the
eingle persons and $1,125 for the mar- voter is protected from the fiscal con-
ried, sequences of his own extravagance."
Under the new rates, this informant Ever since the war, writes a special
adds, an unmarried man would pay ap- correspondent in the London Morning
proximately $254 on an income of Post, Britain has been groaning under
$3,000; $442 on $4,000; $629 on $5,000; a load of taxation. In comparing Bri-
$2,348 on $12,500, and up to $43,190 on tain's burden with that of other coup-
;100,000. tries this writer cites Mr. Stanley
A married man without children, it Baldwin's Govetament, as having
is further noted, would pay $528 on given the House of Commons in, De -
$5,000; triple that amount on $10,000, cember, 1928, the following flglires
and up to $2,964 on115,000. showing the national taxation per
Championing Mr. Snowden as the head in several countries:
Great Britain
Franc.:
Italy
United St:tes
National Taxation per Head.
192,;-27
£14 11 3
7 7 0
4 4 0
6 c 0
1913-14
£3 11 _4
3 7 0
2 2 0
1 4 0
This corespondent of the London
Morning Post (Ind. Cons.) goes on to
say:
"Great Britain was thus paying in
1927 four times as much per head as
before the war, and twice as much as
any of the other three countries. In
January, 1920, Mr. Snowden Iaformed
the House of Commons that, according
to the latest figtu•es, British taxation
was 215 is. 5d, per head, while that
of the nited States was £5 13s. 6d., so
that Britain's position had hecome re-
ratively still more unfavorable as com-
pared -frith the United States.
"This basis of comparison suffices
to give a very rough idea of the bur-
den of taxation in different countries.
It is nevertheless admittedly inaccur-
ate rs a guide to the real burden of
taxation.
'For, in the first place, it takes ac-
count of the national budget and
omits local taxation, the proportion of
which to the national budget varies
from country, to country. And, sec-
ondly, it does not allow for difference
iu national income, which is an im-
portant factor in determining the ca-
pacity of a country to bear taxation.
"Unfortunately, exact calculations
of national income -are impossible, but
sufficiently near estimates can be
made which leave no room for doubt
that Britain is the most heavily taxed
of the great countries of the world in
proportion to her income. The follow-
ing table, based on approximate fig-
ures, shows the proportion of the na-
tional income paid out in all taxation,
national and local, by five principal
countries:
Great Britain
Germany
Italy
France
United States ,
National All Percentage
Income Taxation of Taxation
Year £000,000 to Income
1928 3,750 825 22.0
1927 3,100 625 20.1
1926 1,100 200 18.2
1923 2,050 350 10.1
1924 12,000 1,270 10.6
"It is thus clear that Great Britain
bears a substantially heavier load of
taxation in relation to her resources
than any of the principal European ex-
beligerents, and one of altogether dif-
ferent magnitude from that of the
nited'States. Both the size of the Bri-
tish contribution and the comparison
with that of other countries speak suf-
ficiently loudly for themselves.
"But we have not yet surveyed the
Hart A. Massey fellowships have been awarded by. the American iJniver.
gity, to two fourth-year University of Toronto students: Howe H, Martyn
(left) in philosophy honors at Victoria College, who is the son of H, G.
Martyn, vice-principal of the Stratford' Normal school, and John T. Wilson
(right), in physics and geology honors at Trinity College, who is son of J. A.
Wilson, director of civil aviation, Ottawa,
The new king, it appears, has ,spent ..
a lifetime in the army, issan experi-
enced soldier, and is keen ou improv.-
ing and bringing to• an efficient stand-
ard the forces of Afghanistan.
He knows, declares this Peshawar
correspondent, that on, this army as on
nothing else depend the peace of Af-
khanistan and the stability of the
Government. Turning to educational
matters; we find that:
"U.ing Nadir Shah has Iost no time
in r'e-opening schools for boys. ' 'The
education of girls is for the present
out of the question.
"He has not laid down any clear line
of policy with regard to the system of
education in Afghanistan, but a0 far
as I am aware, the system comtem-
plated by him will differ in .many re-
spects from that adopted by ex-Kiug
Amanullah.
"Although he believes that it is
necessary for the Afghan youth to
learn European languages, he prefers
Russian and English above all others,
and he is perfectly justified. •
"British India and Russia are both
Afghanistan's immediate neighbors,
and it is with these two Powers that
Afghanistan has to Ileal politically,
socially, and economically.
"Why then should the Afghan youth
be ignorant of the languages of their
neighbors and let the vast field of
literature, science, arts, and politics
provided • in these two of the 'world's
best media remain unexplored?
"King Nadir Shall is believed not
to be in facer of sending to Europe
boys or tender age. He favors the
saner policy of having the children of ou.r peculiar problems and needs.
educated at Kabul until they grow up His tact and his long military ax
and complete a standard at home not perfence proved invaluable during the
first two years or the war, and when
went home in 1916 het carried with
m the good wishes of the entire Do-
whole field of taxation. Not included
in either national or local budgets are
the compulsory contributions paid by
employers and workers to the social
insurance services. This is au item—
unemployment isurance, health insur-
ance, widows', orphans' and old -age
contributory pensions and workmen's
compensation—which costs the em-
ployers some £55,000,000 a year, in
addition to over £40,000,000 paid by
the workers."
The Strong Man
Of Afghanistan
The Hero of the Hour in
Afghanistan, It Seems, is
King Nadir Shah
' Through rare courage and intellect,
it is said, he is endeavoring to win for
bis country, peace, prosperity, and
prestige.
The great revolution left Afghanis-
tan both sick and prostrate, writes
the Peshawar correspondent of the
Clalcutta Statesman. How King Aman-
uliah was forced to flee with his wife
and retinue to Europe, and how his
successor, the "water boy," King Habi-
bullalt, was overthrown, has been told
in these columns.
The new phase of Afghan progress
is now called to our attention. Mean-
while this Pesha-rar informant points
put that:
"In some respects the great upheav-
al resulted in 'conditions most satis-
factory to Afghanistan as well as to
the peace of Central Asia.
"It is not an exaggeration to say
that the peace of the world would
have been in jeopardy had it not been
for the patience and great political
foresight on the part of the British
Government and the Union of Soviet
socialist Republics.
"The way in which the Afghan situ-
ation was handled by both these great
E Powers will go down in histry as a
.marvel of diplomatic skill.
"It is a mistake to think that Ama-
nullah's reforms were the basic cause
of the revolt.
The real causes wore quite different,
and the question of reforms and West-
ern modes of living were only brought
into give the Shinwaris an excuse for
a rising.
"Whatever the pauses and the
course of the revolt, it is now clear
that the revolution has resulted in the
establishment of a stable and strong
Government, and the accession to the
throne of Afghanistan of a man who
Is among the best that Afghanistan
has so far produced.
"Ding Nadir Shall, who niay be ap-
propriately styled the savior of Af-
ghanietan, has been culled upon to
rule and guide the Afghan nation in
their hour of great misery,"
King Nadir Shah, We are then ad-
. wised, has many assets. The chief, it
appears, aro his own personality and
the cooperation or his four brothers,
Who help Jilin with unusual devotion
to discharge the responsibilities of
Government. We read:
"Two of his brothers have taken
charge of the whole civil and military
administration at 1101110. One is Sar-
clar Mohamad Hasham Khan, the Pre-
mier, and the other, General Shah
Mahmud Khan, is Minister of War
and Commander -in -Chief.
"Again, two of his remaining broth-
ers have been placed in charge of the
two most important centers of for-
eign diplomatic intercourse; Shah
Wali Khan is Minister Plenipotentiary
to the Court of St. James's, in London,
and Mohamad Aziz Khans is Minister
at Moscow.
"He has thus distributed the most
important offices of State to his broth-
ers, each of whom is to my personal
knowledge most capable of discharg-
ing the duties entrusted to him."
Other salient features of King Na-
dir Shah's Government, this Pesha-
war informant goes on to say, are al-
most identical with those of ex -King
Amanullah's Government.
BloodMSpp liiug
In India's Revolt
H,R.H. the Duke of
Connaught
Canada joins heartily with the rest
of the British Empire .iu congratula•
tions to H,R.H. the Duke of; Connaught
on the attainment of his eightieth
birthday anniversary. His life has
been a long and active one, spent
whbily, until very recent years, In
the service of the Crown, and, there-
fore, of the Empire. As a soldier he
established and retained a high re-
putation, and many of the reforms ef-
fected in theBritish army were due
to his activities. He was a strict dis-
ciplinarian, but at the same time won
and held the affection of all who serv-
ed under him.
Canada was fortunate in having him
as Governor-General from 1911 to
1916, and he was both popular and
efficient, setting a sound example of
scrupulous regard for the responsi-
bilities, as well as the limitations, of
his high position. His daughter,
'known to every Canadian as Princess
Pat, endeared herself to the people
ot.ithis country by her democratic
ways and her charm of manner, anal
her name is permanently associated
with Canada's war record as Honor -
Gandhi's ''Soul -Force" Carn-
paign • for Independence.
Runs Into. British "Vel.
vet -glove" Policy in.
India
Then "violence" and "the iron
hand" appear.
Attempt to maize a news -reel of
widely soattered developments in
huge Indian provinces, following the
Mahatma's solemnly defiant "salt
party," as told in the dispatches,
would show at least:
Weazened Gandhi, on speaking
tour, preaching non-violent civil dis-
obedience, even to death for it. In-
dividuals and crwods disobeying the
eat law by making and selling salt in
many places. Mrs. Gandhi, minus
Carrie Nation violence, leading groups
of women to persuade natives not to
use liquor or patronize liquor shops.
Other bands of women on picket duty
in the boycott of foreign -made cloth -
shops. • Importing merchants join-
ing boycott for a year. Thousands . of
demonstration marchers in Bombay,
Calcutta, Madras, Delhi streets sing-
ing the official Nationalist song
"Bands Mataram" ("Hail Mother-
land"), but also "The Wearing of the
Green." "Hartals"—both orderly and
disorderly general cessation of work
in factories, schools, exchanges, and
business houses. Protesting. crowds
outside trial courts, as well as strik-
ers, throwing stones in conflict with
police. Riot fatalities and arrests
by the score. Hunger strikes among
salt -making prisoners.
Martial law prevailed in cities where
protest meetings and general strikes
had been called and broken up. Then
a band of revolutionary raiders at-
tacked Chittagong a river port of
Bengal, looted the armories of the
police and auxiliary forces, killing
seven persons, and fled back to the
hills. Whereupon troops from Cal-
cutta were ordered to the scene for
Chicago's Amazing
axing
fang Merger
Amazement Greets the An"
nouncement that Chicago's
Gangs Have Amtalgamat-
ed to "Reduce the
Overhead."
"To the man in the street ' it will
seem curiously fantastic that `Al' Ca.
Pone and "Bugs' Moran, notorious
leaders of notorious gangs, should
have the hardihood to perfect a mete,
ger of their criminal interests, and tell
Chicago all about it," declares the
Portland Oregonian.
It does seem incredible, but the
Chicago Herald -Examiner assures us
that "the erstwhile violent leaders of
the half -world armies have arranged
to pool their interests and their
forces, to amalgamate into one mighty
syndicate for the 'orderly' control and
operation of gambling, booze; and
vice," And Capone, we are told, "has
elected himself unanimously — and
without opposition—to the chief of all
the works."
"All for Al, and Al for All"—that is
the slogan of the new combine, ac-
cording to The Herald -Examiner;
which then proceeds to tell us more
about this strange development in
Chicago's "racket": •
"Under the terms of the agreement
the gang coalition contemplates main-
tenance of what might accurately be
described as a 'community chest.'
"Into this chest will be poured all
of the earnings of all of the gang's
units—earnings from vice resorts,
from gambling tables, from. whiskey
and beer distribution, and from labor
rackets.
"Out of the chest will come the pro-
tection funds required, and, it has
been decided, these fees will not be
scattered indiscriminately, as hereto-
fore, but will be paid to certain desig-
nated individuals, powerful enough to
keep off the petty graft colectors."
"The amalgamation of interests now
supposed to have been effected was a
characteristic Capone coup," writes
Owen L. Scott, Chicago correspondent
of the Consolidated Press Association,
"It means reduced overhead and en-
hanced profits, inasmuch as the main-
tenance of private armies is about the
costliest feature of the gang business.
Good gunmen draw about $100 a week
and keep. The number of men on pay-
rolls could be cut sharply with peace.".
Close behind this news came the an-
nouncement,
nnouncement, in the Chicago Tribune,
that Capone, who recently completed
a year's term in a Philadelphia jaiI,'
was "seeking new realms of profit,
and had invaded the stronghold of po-
litical patronage, planning to seize
public jobs, public contracts, control
of budgets, and the power that attends'
it all." Reading further: .
"Tho plan, as it has been described,
has been to have a Capone man ap-
pointed commissioner of the Bureau
of Plumbing, with power to hire and
fire the city plumbers, to create re-
strictions and rules for building in-
stallations, resulting in a czardom
over all plumbing work in the city."
Meanwhile, Capone men were re-
ported to be "muscling in" on the la-'
bor unions. The police saw a tempor-
ary setback in this scheme when a
lone gunman entered a barroom and
shot to death three alleged members
of the Capone gang.
News of the Chicago crime merges,
seems to shock some of our editors,
but most of them write of it in an
ironical vein. Thus the New Orleans,
Item wonders whether it will bring an'
investigation by the Departmeut of
Justice "to determine if the anti-trust
laws are violated."
The Economic Crisis in
Canada
ary Colonel of the famous Princess pursuit, and Viceroy Lord Irwin reim-
P'atricia's Canadian Light Infantry, a ` posed the ordinance enabling Bengal
regiment that made history and left I authorities to arrest and intern sus -
a reputation that will never fade. snots without warrant or trial. Thus
The Duke, while'in Canada, travel- emerges "the iron hand"
led extensively, made himself acquaint- News dispatches come from a few
ed with all parts of the Dominion, and' city -centers and may be subject to
frequently revealed in his speeches a censorship, yet they give the impres-
keen understanding and appreciation sion of spreading revolt, subject to
many cross -currents. Correspondents
report:
"Nationalist campaigners adapt
propaganda methods learned from
Soviet Russia and China revolutions.
There are more kinds of revolt than
ever previously attempted in India—
economic, educational, religions, soc-
ial, feminist, and political. Com-
munist leaders attack Gandhi's disob-
edience program as futile and vision-
ary. Some Moslem leaders refuse to
co-operate. A caste anti -revolution-
ary party has appeared. Ruling
Princes of native States have come to-
gether seeking additional privileges
from Government. Besides Viceroy
Lord Irwin's strategy in refusing im-
mediately to make Gandhi a martyr,
but interning his chief lieutenants
and taking necessary military meas-
ures to suppress 'riots," it is surmis-
ed that the report of the Simon In-
vestigation Commission, withheld for
two years in London may be thrown
into the ring for a compromise settle-
ment, short of independence at an op-
portune time."
less than that of the matriculation in
India. Only atter such preliminary
education will the boys be sent to •
Europe. _4 t present there Is no such minion. The example he has set the
item in Kiug Nadir Shales program, Empire of hard work is :one that may
for the education budget hardly covers be emulated. by all. It is of para -
pular sigiiiticance in that it embodies
the principle that royalty is no bar to
service and that a man in whose veins
the blood royal rens may serve as
faithfully and as ably as those of less-
er birth. The wish of the Empire Is
that His Royal Highness may be long
spared to enjoy the leisure his self-
saerificing devotion to that Empire
so richly merits.
HEARTACHES
Let us awaken to the divine privi-
lege of sharing the heartaches of our
friends; of the meaning of good fel-
lowship; of that independence of
spirit that does not imitate; of cour-
age and pride that can endure adver-
sity with dignity, and without fear.
the expenses necessary for education
at home;"
•
Out On His Feet
Somebody has pricked the enormous
bubble that was Primo Camera. It
now appears that the giant Italian's
psetulo-triumphant tour of the Unttetl
States has been nothing more than a
clossal fake from the beginning. His
opponents have fallen before his great
reach and wiutl.mill arms like wheat
before a scythe. Some of them, in-
deed, timing their falls inaccurately,
tumbled to the mat before the huge
Carnera's fist established contact .with
their chins. One held en for etc
rounds, which was not at all Resent-
ing to schedule, so one of Camera's
seconds went round to the opposite
corner and whispered magic in the
obdurate boxer's second's oar, with
the result that the towel went into
the ring instead of Camera. As a
result, his license and that of his
manager have been cancelled, and
now he can only fight in Alaska. the,
Panama Canal Zone, and the Hawai-
ian Islands, fu American territory.
But, he adds, a wise step has been
taken by the present king in securiug
the co-operation of religious leaders
in his administration. Two well-
known. religious persohalities have
been already absorbed by the Govern.
ment, this narrator states, and con-
tinues:
"The Hazrat Sahib of Sher Bazar,
the famous religious leader who was
responsible for Amanullah's downfall,
has been appointed Minister Plenipo-
tentiary at Cairo, and has already left
Afghanistan to take up his duties.
"His younger brother, the Hazrat
Sher Afgha, is now Minister of Jus-
tice at Kabul.
"Again, in order to provide 'au op-
portunity for the expression of their
collective opinion, time Ring has con-
stituted a Jamial-al-Ulema (Grand As-
sembly of the Learned) which will,
help the 'Government in the discharge
of their duties toward questtons re-
lating to the Sharilt of Islam.
'This Assembly will indeed be help-
ful in maintaining the equilibrium
when ever the fanaticism of the tribal
masses is fanned by some sort of real
or imaginary grievance.
"Persia also has such an assembly
of Mujtabids, and it has proved of real
assistance to the Persian Government.
"There le again the Mojlsis-i-Sitoora,
the Grand National Assembly, wltich.
is presided over by Abdul Ahad Khan,
an experlenoed and able Warciak
Chief, This is a sort of legislative j
body and works its close eo•operatiou
with the Ding's Cabinet of Ministers,"
COURTESY
Give the, other fellow a chance to
talk. 'He'll appreciate the courtesy
and you may learn something.
An architect thinks that the small
houses now being built could be much
improved. For one thing they might
be arranged so that the rooms would
fold into the walls when not wanted.
Most of our papers find it difficult
to understand how Gandhi's psycho-
logy can possibly win, although many
continue to emphasize its amazing
character, and hedge enough to sug-
gest that what wouldn't go in the
West may or may not go far in the
East. Uncertain editors agree that
the one certainty seems to be that
Britain has one of her hardest em-
pire nuts to crack.
Wins 133. -Mile ` Dash For Sputtery Sea Fleas
`1'Hese INTERESTING SMALL GRAPt AR,5 GAINING WIDE POPULARITY
J. E. Wilkifison in Itis outboard, after winning 133.111.11e Mace down Hudson river, from
fit record time of three hours, 27 minutes atd•ihrce seconds.
Albany to Now
Review of Reviews (London)) : The
fall in wheat, wool, copper, cotton, and
other products will not in itself prove
to be a bad thing eventually; but,
temporarily, its effects are disastrous.
It has caused serious emnbarressment
to the chief producing countries like
Argentina, Canada, and Australia. In
the first -named country the gold
standard has had to be suspended for
the time being, but that country, un-
like Canada through its wheat pool,
was wise to sell its wheat and other
products at whatever prices they.
would fetch, Canada unwisely decided
to hold wheat off the market in the
hope that the price would improve.
The opposite has happened and the
situation in Canada is serious. The
funds of the banks are tied up in
wheat, etc., and the resultant credit
strain is serious. It is the more seri.
ous owing to certain scandals which
the Canadian authorities are trying to
hush up.
Public and Private Enterprise
Lord Melchett in the Windsor Maga.
sine (London) : It is hard to see how
the efficiency of production could be
increased simply by the industry be.,
ing conducted by Government depart-
tnents instead of private individuals
(and there aro very good reasons
which indicate that it would actually.
be less efficient), although I agree
that the efficiency of production in this
country at present is not on the high=
est possible standard. Nevertheless)
the whole issue between "private en
terprise" and "public enterprise"
seems to be tremendously over-exagq
geratad. After all, the vital question
1
notwho isconducting industry, but
is 1 g y,
rlt how is industry conducted; not one oft
Yo , political theory, but one of industrial,
expediency,