178 REPORTS ON THE STATE OP SCIENCE. 



Number of Income-tax Payers. 



We can approach this part of the problem from two points of view, 

 for we can either estimate the number of tax-payers from the Reports 

 of the Income-tax Commissioners, or estimate the number of tax- 

 payers in each of our thirty-one classes. As regards the first, it is well 

 known that the number of income-tax payers cannot be directly found 

 from the Commissioners' Eeports, still less can we find the number of 

 persons who pay on so-called ' earned income,' which alone concerns us 

 at present. It is not proposed to make a new estimate of this number, 

 but we recall the following statistics from Mr. Bowley's evidence 

 to the Committee on Income-tax (H. of C, 365 of 190G, especially 

 page 223). It appears that there were in 1904 about G39,200 persons 

 earning over 160Z. in Schedules D and E. To this we must add 23,000 

 farmers (see page 26), making 659,200, and 5 per cent, to bring 

 it up to the year 1909, making 682,000. To this should be added an 

 estimate for the considerable number of persons who earn less than 

 1601. , but whose income from other sources brings them above the 

 exemption limit. On the other hand, we find in the fifty-second Report 

 of the Commissioners (page 139, note) that about 750,000 persons satisfied 

 the Commissioners that they were entitled to pay only 9d. on the whole, 

 or some part of their income, i.e., there are at least 750,000 persons who 

 have some earned income and a total income of between 160L and 

 2,0001., to this should be added the relatively small number of persons, 

 part of whose incomes ai'e earned, while the whole is above 2,000L, and 

 also the number who did not, owing to the shortness of notice in 1908, 

 or for other causes, claim the reduced rate to which they were entitled. 

 All these data are consistent with an estimate of 800,000, or rather 

 more, as the number of occupied persons who pay income-tax, and 

 we propose to adopt this estimate. If the Income-tax Commis- 

 sioners give us more information in the future it can readily be used 

 to make the necessary alterations throughout the remainder of our 

 estimates. Subtracting these 800,000 taxpayers from the 4,900,000 

 occupied persons other than manual workers, we have the large number 

 of 4,100,000 persons in the intermediate group. This is likely to be 

 correct (subject to the definitions we are adopting) within 100,000. This 

 number is considerably greater than those which have been hitherto 

 adopted; but previous writers have not given their data, so that it is not 

 possible to discover the cause of the difference. It is probable that a 

 very large number (nearly 1,000,000) classified as working on their own 

 account in our table have not been included in other estimates, and that 

 some classes which may be regarded as manual- labour classes are in- 

 cluded in our statements, but not in others. As already stated, this 

 inclusion or exclusion would become unimportant if the aggregate of 

 income, salaries, and wages were computed. 



Numbers and Incomes in the Thirty-one Classes of the Intermediate 



Group. 



We now proceed to discuss the incomes of our thirty-one classes. 

 For some of these we have adequate information; for others we have 



