NOVEMBtR, I9IJ. 



history of the flonth. 



thf State ..\i't dots not provide for such nii allow- 

 ance. Mr. Justice a'Beckett said that, in regarti 

 10 the general effect of the Act. tlie [irovision made 

 lor d<'iluctions from gross income showt-d that it was 

 intended to tax only that part of the gross income 

 which was available for the taxpayer, and which 

 was the surplus over and above the necessary out- 

 goings. The land tax might, in some cases, exceed 

 the income ])roduced by the land, and unless its 

 deduction wa.s ix-rmitted the landowner might, in 

 >uch a case, ha\e to pay tax on an income which, 

 to him, was virtually non-existent. But land tax 

 was not payable by reason of land being used in 

 business. It was payable without any regard to 

 the use to which the land was put. The Court had 

 to consider not what were the profits of the busi 

 fiess, but what was the income derivable from per- 

 M^>nal exertion in carrying on the business. The gross 

 .imount of this income could only Ix- diminished b\ 



• leductions authorised by statut<-. If the deduction 

 <'f Commonwealth land tax was not authorised it 



• <iuld not \x allowed, though its exclusion might re- 

 sult in the taxable amount of the income failing to 

 be an .iccurate repre.sentation of the profits of the 

 business. The decision in the prestnit case did not 

 < xclude the deduction of the Federal land tax, where 

 the income of a company had to be ascertained by 

 determining its profits. The Court decided that the 

 -iim in question could not \^c deducted from the gross 

 income of the taxpayer. The appealing taxpayer 

 was a Victorian grazier, who last year owned 17,970 

 icresof land, which was assessed for Commonwealth 

 and tax purposes at ^44,924. The. tax levied upon 



It by the Commonwealth was ^^387. To a grazier 

 «ho owns land valued at ^50,000, the amount of 

 ,'-'.178, which he sought leave to deduct from his 

 riajme for the purposes of the income lax is a mere 

 ride; but the jirinciple involverl in his appe.il is an 

 nportant .in.-. 



* Naval 

 Motto. 



The Prime .Minister has recently 



publicly expressed the thanks of his 



fKJvernment to .Admiral Sir C.eorge 



King-Hall for his official services ff> 



the (Vinini. inwcalth, and for his a.ssistanc<' and ad 



.CA- in deferuv matters. There is another sense in 



vhich the .Australian [jcople are indebted to Sir 



';«orKe King Hall. He is a man of high Chris 



iT.in char.-ict.r and ideals, who has given the weight 



of his prestige and influence for the promotion ot 



ic highest tyjx; of citizenship. Speaking at a 



Irothorhooil nK-iting the other day, Sir Gi-orge gave 



II interesting account of the origin of the Naval 



TN THK CITY OF DUST AND COXGESTED TRAFFIC. 

 Mr. Murray, the Victorian Chief Seoretary, finds the 8yd- 

 ne.vitc a happy and prosperous-looking person. 



Temjjerance Society, who.se motto, he mentioned, 

 was " For the glory of God and the good of the 

 State." Some years ago the captain of the 

 " Russel " had a terribly drunken lot under him : 

 but he had come to see that something should Ix- 

 done. He called the men up and told them how 

 all the crime in the world arose from drink. \\<- 

 said, " T will tell vou what 1 will do. I'll stop 

 my wine for three months if you will stop your 

 grog." Forty of the men stood out and said they 

 would agree to that. At the end of three months 

 the captain called the crew up again, and found 

 that every man of the forty ha<I kept his promise, 

 for they all loved the captain, and not only th.it. 

 but a number more had joined them. Some years 

 afterwards, the former captain of the " Russel " 

 was an admiral. The captain Sir George referred 

 to was his own father. 



" Do as 

 I do!' 



I'roni that l>ap])\ inception ilv 

 .Naval 'l'em|Krance Society has 

 spr<'a(l among all gr.ides of bliu- 

 jackets. Some prominent men in 

 the na\\, ,is Sir (U.'orgo stilted, are now teetotallers, 

 including four admirals, and amongst them I^ord 

 Charles Heresford. It was saying .1 gooil deal for 

 the .service, he thoi ght, that there were now 15,000 



