GENERAL PRINCIPLES 13 



only those in the same rating area are 

 considered. 



We must next notice, however, that this, 

 of itself, is not a conclusive objection to the 

 method adopted. Inequity of some kind 

 appears throughout the whole range of 

 taxation. 1 The abstainer from drink and 

 tobacco and other taxed commodities 

 escapes a large part of imperial taxation. 

 The total exemption from income tax of 

 incomes below a certain amount is obviously 

 inequitable, especially as compared with the 

 incomes only slightly higher that only 

 obtain a partial remission. At the present 

 rate of is. in the , a person with ^"200 a 

 year will pay 2 in income tax (that is on 

 200, less 160), whilst a person with ."160 



1 We cannot argue that the comparative absence of 

 complaints on imperial taxes shows the equity of the 

 system (Sir E. Hamilton, Mem., p. 52); it may merely 

 show the ignorance or the hopelessness of the tax- 

 payers. 



