Paying the Piper.

Oamaru Mail, Volume XXIX, Issue 8583, 10 September 1904, Page 4

Paying the Piper.

(By Douglas Story in the London, Daily Express.) Kobe, June 29.

It has long been a standing grievance with foreign residents in Japan that they are called upon to pay higher prices than the Japanese themselves for almost all the necessities of life. The Japanese of the lower classes labor under the mistaken impression that the foreigner is endowed with more money than brains —more yens thans sens (e), as a somewhat atrocious colloquial pun. has it. The beggars in the streets will leave the crowd of their own countrymen, among whom there may be millionaires, to grovel before a Western bank clerk, whose only excuse for remaining in the East is his indebtedness to his neighbors. A Japanese is never pestered by jinriksha coolies, whereas one of the causes for complaint of the stranger is the anxiety of these tireless gentry for "fares." Should the newcomer indulge, he will- in all probability be charged double the correct amount. Go into the native city and observe the Japanese make a -purchase from the store. The price is asked, the money is paid, and the transaction is speedily concluded. If the foreigner inquires for an identical article the storekeeper will leisurely light his pipe, sizing him up as he does it. Then he will ponder long, and in- the end invariably quote him treble the price that was given by his Japanese customer. There are now many stores known as "one price" shops, but usually that term implies one price for the Japanese and one price for the foreigner. In a Japanese hotel a foreigner's bill is, as a matter of course, higher than that of a Japanese. But'while resident foreigners bear with the inequality, and look upon this universal system- of "squeeze" almost as a necessary evil, they bitterly resent it when it is countenanced by the Government. It is a notorious fact, admitted by the Japanese themselves that foreigners pay a larger proportion of taxes than their Japanese fellowresidents.

Trouble is brewing. The war is most seriously affecting the business interests of foreigners in Japan, and the threatened violation of treaty rights and privileges may lead to more weighty consequences than most people imagine. Article 11. of the Anglo-Japanese treaty, it may be mentioned, reads as follows : "The subjects of either of the contracting parties residing in the dominions and possessions of the other shall be exempted from all compulsory military service whatsoever, whether in the army, navy, national guard, or militia; from all contributions imposed in lieu of personal service, and from all forced loans or military exactions or contributions."

The French treaty has a similar clause, which exempts foreigners resident _in Japan from extraordinary contributions of whatsoever nature.

In face of these clauses in the contract between aliens and Japan, it is not surprising that indignation has been aroused by the publication in English by the Tax Bureau in Tokio of the .following notice:— "Under the law promulgated April 2, 1904, termed the Special Taxation Law,' an additional war tax was imposed on both Japanese and aliens amounting to seven-tenths of the incometax imposed under the existing Income iLaw." .

The Government has also imposed consumption taxes, which are considered to be in direct opposition to the terms of the treaties, for whereas it is stipulated that six months' notice be given before the additional duty can be imposed, besides the consent of the Power whose convention is affected, the Customs authorities regard these consumption taxes as additions to the Customs dues, and decline to allow the taking or delivery of goods until the extra tax be paid, thus making it a tax upon the importer and not upon the consumer. The consumer, of course, pays in the long run, but the position of the importer, who may have contracted to supply goods free of duty (relying on the treaty provision, as stated, that the conventional tariff shall only be raised after six months' notice has been given) becomes unpleasant'in the extreme.

Foreign merchants claim that, by virtue of the treaties, they are exempt from this additional duty, and already very strong protests have been made. As I have said, the foreigners resident in Japan do not object so much to "paying through the nose"; they have no objection whatever to contributing to the war funds, but they do object to the deliberate breaking of these contracts, and if the Government insist on such a breach of treaty rights and privileges, matters may culminate in something far Store serious than "passive resistance."