of years in increased taxation, he is inclined to think that the
former method is one which would be most convenient to them and best
for the country. This contention cannot be set aside lightly, and
there can be no doubt that if, by making a dead lift, the wealthy
classes of the country could throw off their shoulders a large part of
the burden of the war debt, such a scheme is well worth considering as
long as it does not carry with it serious drawbacks.

It seems to me, however, that the drawbacks are very considerable.
In the first place, I have not seen any really practicable scheme of
redeeming debt by means of a levy on capital In so far as the levy is
paid in the form of surrendered War Loans, it is simple enough. In so
far as it is paid in other securities or mortgages on land or other
forms of property, it is difficult to see how the assets acquired by
the State through the levy could be distributed among the debt
holders whom it is proposed to pay off. Would they be forced to take
securities, mortgages on land, furniture, etc., as the Government
chose to distribute them, or would the Government have to nurse an
enormous holding of various forms of property and gradually realise
them and so pay off debt?

Again, a great injustice would surely be involved by laying the whole
burden of this oppressive levy upon owners of accumulated property, so
penalising those who save capital for the community and letting off
those who squander their incomes. A characteristic argument on this
point was provided by the _New Statesman_ in a recent issue. It argued
that, because ordinary income tax would still be exacted, the contrast
between the successful barrister with an Income of £20,000 a year and
no savings, who would consequently escape the capital levy, and the
poor clergyman who had saved £1000 and would consequently be liable to