§ MR. J. G. HUBBARD, in moving for leave to bring in a Bill to amend the Valuation of Property (Metropolis) Act, explained that the object of the measure was to carry still further the principle of valuation in the direction of a general 372 system by having the house tax and the income tax calculated on the net rateable value of property, and not on the gross value or rent paid by the tenant. They found by looking at the Act that, whereas all local rates of whatever kind were assessed upon a measure of value laid down in the net rateable value, yet Imperial taxes were levied on the gross value. For example, the gross rental of the metropolis was £24,000,000, and the net rental £20,000,000; and while the local taxation was levied on the £20,000,000 only, the Imperial taxes were raised from the £24,000,000, which was, he conceived, an unjust anomaly. That was to say, the right hon. Gentleman the Chancellor of the Exchequer taxed the £4,000,000 which were expended in repairing and keeping up the property. Even this did not represent the full extent of the evil which was suffered. Suppose a man had £2,400 a-year gross, and £2,000 net rental, and that there were incumbrances to the extent of £1,600 a-year, the owner, in such a state of things, would be taxed upon £800 a-year, whilst he would only receive £400 a-year. He thought it was a gross injustice, and one that demanded a remedy; and it might fairly be asked why was there this difference? He thought the difference was easily explicable. The income tax was introduced merely for a temporary purpose, and it was, therefore, easily understood why it was inexpedient to disturb one year the basis of a tax which next year might be wholly abolished. Under the present system, they had the frightful anomaly that the individual owner of real property paid a double income tax, and the capitalist was relieved. With the slight amendment of the Metropolitan Act which he proposed, he thought that Act would be a model and a specimen of the system which he hoped to find prevailing throughout the whole country. The right hon. Gentleman concluded by moving for leave to bring in the Bill.
§ MR. SCLATER-BOOTHsaid, there could be no possible objection to the Bill being brought in; but it must be understood that the Government was not pledged to it as regarded the limitations imposed, for he did not see how its operation could be confined to the metropolis alone.
§ Motion agreed to.
373§ Bill to amend the Valuation of Property (Metropolis) Act, 1869, ordered to be brought in by Mr. HUBBARD, Mr. FORSYTH, and Mr. TWELLS.
§ Bill presented, and read the first time. [Bill 74.]