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The Duke of Rutland said his present year, and pointed out the objections to the Bill were that means by which Mr. Gladstone he doubted the existence of a sur- had replaced the deficiency of plus. He thought also that other the previous year by a surplus, taxes ought to be repealed before expressing his surprise that the the duty on paper, and that the House of Commons had been caform in which the Bill came be- joled by so transparent a fallacy. fore the House was objectionable. He did not dispute the existence In the present condition of affairs of the surplus, but the question in Europe and America, when it was, how could it be best emwas impossible to say how long ployed ? He was ready to admit peace might be preserved, it was that the paper duty was an objecmost inopportune to abolish the tionable tax, and one which, if duty on paper, especially in the there were an overflowing exchestate of warlike preparation which quer, ought to be repealed, but was going on in France and its repeal would not work the England. Objecting strongly to marvels which were prophesied, the form in which the Bill had and would only benefit editors been sent up to the House, he of penny newspapers," and the declined to accede to Lord Gran- makers of bandboxes. The whole ville's suggestion of withdrawing question was, however, a financial the motion.

one, and as the House of ComThe Earl of Derby said that, mons had, by a small majority, in spite of his high opinion of decided on the repeal of the pathe Duke of Rutland's judgment per duty, he did not wish to and character, he could not con- take the responsibility of adviscur with the practical conclusion ing the House to set themselves at which he had arrived, although in opposition to that decision, eshe agreed with him in regarding pecially as the positions of the the Bill as objectionable in sub- question in the last and the prestance and in form—in substance, sent year were widely different. because he thought that, if a sur- Lord Derby next examined at plus existed, there were taxes some length the right of the pressing heavily on the poorer Lords to alter a Money Bill, conclasses which had a preferential tending that they had that right, claim for repeal over the paper and supporting his arguments by duty; and in form, because the quotations from various authoriBill was sent up in one measure rities, of whom Mr. Fox was one, in order to preclude the House but he considered that it was unfrom exercising its judgment upon wise for either House to push its it. Briefly alluding to the reasons privileges to the utmost, and to which had induced him to follow manifest an unconciliatory spirit. the course he had pursued last Adverting to the mode in which year on this question, and to the the House of Commons had dealt effect of the decision of the with “ Tack Bills,” he admitted House in contributing to reduce the right of the Commons in that the deficiency of the present year particular, but objected strongly by 1,250,0001., the amount of the to the manner in which it had retained paper duty, he proceeded been exercised in proposing to to discuss the Budget for the take away a permanent tax and



substitute a purely temporary pursued on this question last

It had been suggested that year, hoped that the Duke of their Lordships should divide Rutland would withdraw his mothe present measure into two tion. He was glad to see the Bills and send them back to the principle that the House had the House of Commons, and, al- right of rejection had been estathough their Lordships undoubt. blished, but he quite agreed with edly had the power to do so, he Lord Derby that the right should strongly deprecated a

be exercised with judgment. He which would appear retaliatory. did not object to the form of the He could not concur with Lord Bill, but thought it had certain Granville that the Bill was of a advantages, and was convinced conciliatory character; on the that if it had been adopted last contrary, he

considered Mr. year the Government would have Gladstone had allowed himself been left in a minority. Lord to be influenced by feelings of Grey then entered into a defence mortification at its rejection last of the conduct of the House last year, and had indulged those year, declaring that it was fully feelings in the present Bill. He justified by the condition of the earnestly hoped, however, that revenue and the war in China, the motion of the Duke of Rut for the carrying on which a most land would not be pressed. insufficient sum had been asked

The Duke of Argyll, having in the year's Budget. As to the expressed a hope that they had Budget of the present year, he now reached the close of this believed it to be eminently specucontroversy, defended Mr. Glad- lative, for it depended upon a stone's financial arrangements variety of calculations over which from the fierce onslaught and in- the Chancellor of the Exchequer correct statements of Lord Derby. had no control. No thought had He reminded Lord Derby that been taken for a possible bad he himself, when in power, had harvest, a short supply of cotton, admitted the impolicy of retain- the payment for the Stade Dues, ing the paper duty as a perma- or the war in New Zealand, all nent source of revenue. He de. which considerations destroyed nied that the remission of the his confidence in the financial duty would only benefit the pro- policy of the Chancellor of the ducer, contending that by the Excheqner, whose many inconextension of the paper trade, and sistencies in financial matters he the cheapening of literature, it detailed to the House. Lord would be of vast benefit to the Grey concluded by remarking community. In regard to the upon the different opinions held form of the Bill, it was unusual, by different members of the Goperhaps, in recent years, but not vernment, as especially exempliunconstitutional, and he declared fied in the measures for putting that there was nothing in it of the country in a state of defence, the nature of a tack," as the and said that the public had a whole Bill was one of a purely right to expect the Government financial nature.

to lay down and adhere to more Earl Grey, having congratulated certain rules for the regulation of the House on the course it had the expenditure.

Lord Monteagle defended the only motion of this kind which accuracy of the estimate which obtained a partial success was he had stated last year. He de- one made by Mr. Hubbard for clined to ask their lordships to the appointment of a Select Comreject the present Bill, but re- mittee to inquire into the mode commended them to accept it of assessing and collecting the with caution, lest a principle income-tax, and whether any should be admitted which would mode of levying the same so as unduly restrict the rights of that to render the tax more equitable House. He anticipated a pro- could be adopted. In adverting bable necessity for increased tax- to the objectionable features of ation next year, in order to meet the tax, Mr. Hubbard dwelt upon the expenditure of the country; its inequality more than upon its and, in that case, he said, the loss nquisitorial character, which, he of the paper duty would be se- thought, had been exaggerated. verely felt.

Premising that an equitable tax The Duke of Rutland said was that which taxed a man acthat in deference to the wishes cording to his means, he assumed of his noble friend, to whose that there were but two classes judgment he owed much re- or categories of incomes that spect, he should withdraw his should be subjected to the taxamendment.

namely, the result of investThe opposition being thus re- ments of capital, and salaries and moved, the Bill was read a second industrial incomes, the fruit of time, nem. con.

personal labour, and therefore of Thus, after much discussion a precarious nature. He then and a close and keen struggle, examined in detail the different extending over a considerable descriptions of property included part of the Session, the financial in the various schedules, and spemeasures of the Government were cified the abatements he proposed at length brought to a completion. to make in the assessment of

Before dismissing the financial the tax upon certain classes of transactions of this year, which property, deducting one-third in occupied an unusually large share the case of industrial and preof the attention of Parliament, it carious incomes. He noticed will be proper to notice some the immense amount of fraud in attempts on the part of private the evasion of the tax, which he members of the House of Com- attributed in a great degree to its mons to effect a remission of inequality, persons smarting unparticular taxes ; but as in each der the injustice of the tax encase the opposition of the Chan- deavouring to do justice to themcellor of the Exchequer to these selves in their own way.

He adexperiments in finance was sus- mitted that there would be a loss tained by a majority of the of revenue by the adoption of his House, a brief notice of these proposal, but his firm conviction discussions will be sufficient. was that, the measure being one It will be observed that they of justice, the diminution under were all prior in point of date to Schedule D would be less than the Financial statement. The might be anticipated.

The Chancellor of the Ex- sat for a considerable time, and chequer said the proposal for a received much evidence, but the committee of inquiry into the report made being unfavourable subject, and more especially the to the scheme proposed by Mr. particular nature of the plan Hubbard for modifying the tax, submitted by Mr. Hubbard, com- no result followed the inquiry. pelled him to object to the mo- On the same evening on which tion. Mr. Hubbard proposed that Mr. Hubbard carried his motion, a separate rate of tax should be a resolution was moved by Mr. laid on the different schedules, W. Williams, affirming that "real and the House could not vote property should be made to pay for the motion without attaching the same duty as was paid on pera provisional sanction to the sonal property.” Mr. Williams plan. This was a very grave de- enforced the same arguments mand, and the Government would in support of this proposition not be justified in assenting to as he had adduced on former octhe motion unless they were pre- casions. pared to say, at least, that they The Chancellor of the Exsaw no objection to the plan. chequer said he was sorry that Mr. Gladstone then proceeded to his views upon this occasion were discuss its merits and details, re- entirely opposed to those of Mr. minding the House that the Williams, whose motion would abatement of the tax to one man

lead to a belief that all prowas virtually the taxation of perty was placed in two categoanother; that the relief of Sche- ries, real and personal, and that dule D would throw an additional real property did not pay probate burden upon Schedule A. Mr. duty, and personal property did. Hubbard, he observed, professed But he had omitted to notice that to aim in his plan at curing injus. a large amount of personal protice and getting rid of anomaly, perty paid no probate duty at all, and he proposed to do this by passing under settlement. Vamaking an uniform deduction rious burdens were borne by real of 33 per cent. from industrial property from which personal incomes, but no deduction in property was exempt; and to subfavour of the fundholders, the ject the former to probate duty great mass of whom were small would lead to a great anomaly. annuitants. The object which He then showed the numberless Mr. Hubbard had in view had inconveniences and difficulties, been repeatedly abandoned as as well as the hardship, which impracticable, and the principle, would attend the collection of a setting class against class, was probate duty upon landed profraught with social danger. He perty, if it were practicable, and recommended the House to put he was not able to say that it was. a negative upon the motion. He was of opinion that the pro

The motion was, however, car- posal was not warranted by jusried against the Government by tice, and that, if it was, the diffi131 votes to 127.

culty of giving it a practical form In pursuance of this vote a and the amount of hardship it Committee was appointed, which would inflict would be such that it would not be advisable to pro- and, until that was taken off, he ceed in the path Mr. Williams was not prepared to support the had pointed out.

resolution. Upon a division, the motion Mr. Disraeli, upon grounds of was negatived by 167 to 51. financial prudence, and the neces

On the 5th of March, Mr. sity, at that time, of husbanding Dodson, one of the members for the resources of the country, Sussex, moved the following re- could not assent to the motion. solution :-“That the mainte- The Chancellor of the Exchenance of any duties upon hops quer said he was bound to acis impolitic, and that, in any re- knowledge that the hop duty had mission of taxation or adjust been discussed with very conment of financial burdens, pro- siderable ability; but the question vision should be made for the did not turn on the merits of the removal of such duties." He en- duty or the policy of continuing tered into minute details as to the it as a tax. He admitted its pecuhop cultivation, its expense, the liar demerits, and that it was precariousness of its returns, the levied upon an article of raw difficulties and anomalies attend- produce; but there were other ing the collection of the duties, as objections which had been urged well as the injurious effects of the against the tax—as that it was tax upon both the growers and costly in its collection-to which the public. The hop duties he he could not assent. Observaregarded as an excrescence of the tions had been made on the malt duty, and he believed that fickleness of the hop plant ; if they were abolished the in- but it must not be supposed crease of the malt duty would, in that the distress in the hop disa few years, repair the loss of tricts would be put an end to by the hop duties, while the con- the abolition of the hop duties. sumer of beer would benefit by In point of fact, the hop cultivathe disuse of those ingredients tion was a lottery, the duty acting which were now used as substi- as a deduction from the prizes tutes for hops. He insisted that and an aggravation of the blanks ; the tax, which had been con- but the duty was not the main demned by high authorities, and cause of the distress. He obwas costly in collection, could not jected to the motion on the ground

sound and satisfac- that it was an abstract resolution tory footing, and he implored the a matter of finance. The House not to be led away by the failure of the paper-duty resolurefined ingenuity of the Chancel- tion ought to be a warning against lor of the Exchequer.

the adoption of more resolutions Sir Brook Brydges seconded of this kind. There were other the motion, which was supported duties the remission of which had by Sir John Shelley, Lord Pe- been called for, and, if this resovensey, Lord Holmesdale, and lution was agreed to, other memLord Harry Vane.

bers would come down with abMr. Bright thought the hop stract resolutions, and he asked duty very objectionable, but he whether the result of such a proconsidered the paper duty as cess, in which so many pledges having a prior claim to remission, would remain unredeemed, would

be put upon


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