!

252

of $750,000 provided in the Estimates. If therefore the policy of redeeming subsidiary coin is pursued the nett increase in revenue from the enhanced price of prepared opium will be $357,104.

7.

In order to establish equilibrium between Revenue and Expenditure it is necessary to provide for an addition. -al $300,000. The premium of $75,000 in respect of the Land Sale

sanctioned in your Despoten telegrams of the 30" Decruiber_.

was not included in the Estimate for Land Sales, as I have excis- -ed item 36(c) from Public Works Extraordinary and I can make other economies of $28,000 giving a total saving on Public Works Extraordinary of $61,000. There will be further considerable economies in Personal Emoluments in the Police and Prison Depart- -menta due to the absence of European Police and Warders at the front and in some other Departments from economies which are

being introduced. These will probably amount to $50,000. I antici-

-pate considerable increases in revenue from Estate Duty due to

recent legislation on the subject (Ordinance 15 of 1915). The increase this year may reach $50,000. To make up the balance and

leave a margin for increased Military Contribution I have decided

to increase the duties on alcoholic liquore by about 30 per centum

and to tax perfumes containing alcohol. This is estimated to

yield $120,000 this year.

8.

Moreover I would again urge upon you the pro-

-posals made in my Confidential Despatch of the 29th. December

by which an estimated revenue of some $600,000 may be obtained

from taxing salt, and I hope shortly to lay before you proposals

for taxing tobacco from which source I estimate that $150,000 a

year can be derived.

Both these taxes could be initiated this year

by the lat. of July with the result that a surplus revenue of

some $375,000 on the year's working might be effected,

This taxation with the proposals made in

paragraph 7 will, I submit, suffice for the needs of the Colony

for the present.

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