LI B RARY OF THE UNIVERSITY Of ILLINOIS 332. v.33 H0 OUTLINE OF A PLAN FOR AMENDING THE SYSTEM OP TAXATION. 33trming5am : PRINTED BY RADCLYFFES AND CO. 3, PECK-LANE. 1833. OUTLINE, &c. With a view to meet the general wish for the repeal of the (e Assessed Taxes," and under the conviction of the justice and necessity of relieving the productive classes from their unequal share of the public burdens, the following suggestions are respectfully submitted as the outline of a practicable plan of taxation, which, if adopted, would afford considerable relief to the middle and lower orders, by reducing the prices of articles of consumption, and by promoting the com- mercial interests of the country; it would also pro- bably meet the prejudices of many, and consequently be the means of introducing a gradual alteration which might be extended almost imperceptibly to a complete change of the financial system ; the property or in- come of the nation would be ascertained by actual returns, and from the circumstance of the rate of per centage requisite for the purpose being very low, the returns would be obtained with considerable accuracy, and by the experience of persons making the returns and of commissioners examining them, they would, in the course of a few years, be rendered still more correct. The imperfections and incompleteness of the plan require an apology : prevented by- the engagements 4 of business from deep research, the writer requests a candid consideration of the principles rather than the precise details, the propriety and expediency of which, particularly with reference to the productive quality of the various stamps, would be best ascertained by Stamp Office returns. In any important change, which has for its object the relief of one class of the community, care should be taken to inflict no injustice on any other. Every individual in the state has a certain interest to be sustained, in proportion to which interest he ought to contribute towards the necessary expenses attendant on the maintenance of the state, and the dis- charge of its just liabilities. To urge retrenchment and economy would be su- perfluous and impertinent, after the declaration made by the present Ministry when entering office, and after the important pledges which they have redeemed ; suffice it to say, that an economical Government with any system of taxation is indispensably necessary to recover the country from its difficulties ; a saving of some millions per annum might be effected by the adoption of common and rational principles in the management of the public money. The outline of a plan for raising a revenue equal to the exigences of the state, in such proportion as shall render property available to its due share of taxation, is as follows : BY POST OFFICE REVENUE: (Query Franking?) 5 BY RECEIPT STAMPS, Nearly equalised as a per centage of § or 1-1 6th on the transaction, commencing at £5 ; lower amounts being generally evaded. New Stamp, |. — £ s. d. -1-lCth, Old Stamp. i. d. £5 and not) exceeding j 2 o z\ The scale 20 6 3 6 1 may be 50 16 1 i oV filled up 100 2 6 1 6 i e( more 200 5 1000 25 2 6 12 6 2 61 7 GJ perfectly. N.B. Property affected by this Stamp changes hands more frequently than any other. This Stamp being at present very frequently evaded, it is probable that the lower rate would induce a more general use of it. BILL STAMPS Nearly equalised as a per centage of J on the trans- action. For any Sum not ) New Stamp. — Old Stamp. £ s. d. s. d. exceeding . . j 10 ° 6 l °l The scale 20 10 1 6 f may be 50 2 6 2 6 V filled up 100 5 3 6 more 200 10 4 6 I perfectly. 1000 50 a N.B. This Stamp cannot be svaded. STAMPS FOR BONDS Nearly equalised as a per centage of J or J per cent, on the transaction. New Stamp, J or A.— Old Stamp. £ For any Sum not ) exceeding .. j The scale 100 5 10 30 f may be 200 10 20 40 V filled up 1000 50 100 100 i more 2000 100 200 120 I perfectly. 10,000 N.B. This arrangement would probably increase the revenue. STAMPS FOR MORTGAGES Nearly equalised as a per centage of J or h per cent, on the transaction. 6 New Stamp, £ s. For any Sum not New Stamp, J or £. — Old Stamp. £ s. d. s. s. ,r any Sum not) 5Q ^ exceeding . . J I Ine scale 100 5 10 30 f may be •200 10 20 40 > filled up 1000 50 100 100 I more 2000 100 200 120 1 perfectly. 10,000 £25 £50 £12 J N.B. This arrangement would probably increase the revenue. STAMPS FOR THE CONVEYANCE OF LANDED PROPERTY Nearly equalised as a per centage on the transaction. N. B. These stamps are already very nearly arranged at 1 per cent, and require little or no alteration. STAMPS FOR TRANSFER OF FUNDED PROPERTY Nearly equalised as a per centage on the transaction, at J per cent. N.B. Property affected by this Stamp changes hands more frequently than landed property, but not so frequently as articles of trade and commerce, which'are affected by Receipt and Bill Stamps. The sales of stock hourly made in consequence of fluctuations, are principally speculative transactions, to which this tax would probably operate as a salutary check ; but those individuals who vest money in the funds for the sake of receiving the dividends, seldom disturb the investment. PROBATE DUTY Equalised as a per centage on the transaction, at 1 per cent : — New Stamp.— Old Stamp. Not exceeding ? 1AO ~, the Value of.. \ 10 ° *" """ ITb'e scale 200 2 £2 F may be 500 5 11 > filled up 1000 10 22 L more 10,000 100 180 | perfectly. 100,000 1000 LETTERS OF ADMINISTRATION On the same scale as Probate Duty. DUTY ON FREEHOLD ESTATES On the same scale as Probate Duty, N.B. This Duty would make up the deficiency arising from the reduction of the Probate Duty on personal Estates. There appears to be no justice in personal Estates paying an enormous Stamp Duty, whilst Freehold Property is altogether exempt. 7 LEGACY DUTIES Revised. OTHER STAMP DUTIES Now existing, revised. EXCISE DUTIES, But repealing those which bear on industry and vexa- tiously cripple trade and commerce, and reducing those which bear heavily on articles of consumption, viz. bricks, paper, glass, &c. soap, malt, hops, &c. CUSTOMS, But repealing those which produce but little profit upon the charge of collecting; — reducing the very heavy duties which encourage smuggling, — also con- siderably reducing those which bear on raw materials and necessary articles of consumption ; also reducing all protecting duties, particularly that on corn ; viz. sugar, tea, spirits, tobacco, &c. timber, hemp, ba- rilla, tallow, &c. watches, various other articles of manufacture, corn, &c. N.B. A reduction in the protecting duty on foreign corn would not injure the farmer, when accompanied by a reduction in the duty on other articles. REPEAL ALL ASSESSED TAXES. The deficiency arising from the foregoing alterations and repeals to be supplied by A PROPERTY TAX, Being a certain rate per cent, on all property, landed, funded, or capital employed in trade, and in those cases where incomes are derived from other sources, such as professional men, clerks, &c. a certain rate per cent, on their incomes, OR AN INCOME TAX, Being a certain rate per cent, on all incomes, the mi- nimum at which taxation should commence being about ,£75 per aunum. 8 To obviate the common objection to an income or property tax, its inquisitorial nature, let the returns be made by a scale on the following principle, which, as it allows considerable latitude, would relieve the con- scientious man from the difficulty of making an exact return, whilst it would lessen the inducement, and at the same time increase the difficulty of making such false returns as would materially affect the amount of revenue. Incomes being more easily estimated than property, and the difference between a property tax and an in- come tax being more in name than in reality, a scale for an income tax only is submitted. A Scale by which Incomes are to be returned. N.B. The Tax to be paid on the lower amount. £75 per annum, to £100 £2000 to £2500 100 150 2500 3000 150 200 3000 3500 200 250 3500 4000 250 300 4000 5000 350 400 5000 6000 400 500 6000 7000 500 600 7000 8000 600 700 8000 9000 700 800 9000 10,000 800 900 10,000 12,000 900 1000 12,000 14,000 1000 1250 14.000 16,000 1250 1500 16,000 20,000 1500 1750 20,000 25,000 1750 2000 25,000 30,000 Higher amounts to advance on a scale of 5000 The income of his Majesty not to be exempt. The returns to be examined by commissioners ap- pointed by Government, who should take their circuits periodically. BIRMINGHAM: PRINTED BY RADCLYFFES AND CO. 3, PECK-LANE. Price 2d. each ; \s. 6rf. per dozen ; or 10s. per hundred.