TAXATION OF LUXURY

Evening Post, Volume XCVI, Issue 41, 16 August 1918, Page 6

TAXATION OF LUXURY

The over-dressed and over-fed man, and the over-dressed (yet often underdressed) woman, are among the targets of the special taxation devised by the British Select Committee whose report was cabled yesterday. Whether this luxury-taxation would hit tho mark, or whether it could be successfully evaded, we do not know. History provides many cases of special taxation, intended to be revenue-producing, or punitive, or even preventive; also many instances of successful evasion. By way of parallel, it is well within living memory that the Parliament of N«w Zealand legislated the bookmaker out of existence; yet, instead of dying, the bookmaker survived, aJid is even found to be a pillar of the postal and telegraphic revenue. It may be that the lady in the fur coat and tho aggressive boots, and the. comfortable gentleman attired in fin© raiment, will prove to the tax-gatherer equally elusive; but the practicality or impracticality of the proposed taxation scheme does not affect the undoubted fact that its mere parpose is endorsed by public opinion. A parade of luxury, in a time of national suffering, outrages the public sense of fair play; and popular feeling naturally sides with any attempt to burden clothing and table luxury, and other indulgences above the necessity line. If tha British Select Committee's practical workmanship proves to be equal to its moral courage, tangible results may ensue. Meanwhile, there is certain to be a lively controversy as to where necessity ends and where luxury begins (e.g., the feminine use of commercial silks); and the tax-yield, and the cost of collection, are both matters that will afford room for difference of opinion. It is an economic tragedy that the shoulders best able to bear a burden generally carry heads which aro the most skilful in. , paaaing it on,.