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ylaubenejIumie od yam outlineque brtc sunevad ONT

evijanzeil

barit

finition

Ordinary reņue & benditure.

به امینی

The assessment of a fixed percentage on Gross

Revenue induces a tendency to decentralise by eliminating

Municipal revenue (as I believe is done in Singapore) and

晨 similar Revenue and expenditure by cóporate bodies under

Government control from the Colonial Revenue subject to the

percentage, and to bring to account in the Colonial Budget

the net revenue only of all such subsidiary accounts. The

items which appear on both sides of the account do not

indicate increased wealth, and increase of Revenue from

such causes, though increasing the percentage payable to

the Defence fund, is no measure of the financial prosperity

of the Colony.

The financial prosperity is more accurately represented by the Margin which remains when the Ordinary

Expenditure is deducted from the Ordinary Revenue. If the

as Mr. Chamberlain desired the Military Contribution is to

bear a constant relation to the Financial prosperity or decline, it should be a fixed proportion of the 'Margin' and

not of the Gross Revenue.

(1) Loans. tes

The point at once presents itself what is to be treated as 'Ordinary' Revenue and Ordinary' Expenditure, and

how more especially are Loan Accounts to be treated? What

for instance, is to prevent a Colony from balancing its

ordinary revenues and expenditure so that little or no

Margin

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enkloeb yam euroved end down tavevoɗ oms B

It has lately been reported in the Press that this principle is to be extended in the coming year, by trans -- ferring all expenditure on Education to Municipalities, to be covered by an 'Educational Rate' not liable to Military Contribution.

ÖNT

16

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