section four of your " Week by Week " article of la,nuary 10 you decry the distinction made for income tax purposes between earned and unearned income, think that on further reflection you will agree that this is a misjudgement. There is no tax on what a man saves to keep him in illness and old age. Inland Revenue, however, taxes any interest or dividend arising from the investment of such savings. There is also a duty on the savings themselves if on his decease they pass to his heirs.
In fact, I think that the principles you are setting forth are very nicely backed up by our system of taxation. Also if people were made to relinquish the illusion that any money they have to spare may be made to yield .5 per cent. per annum without any exertion either on their part or on anyone else's, then we should be on the road to a saner way of living.
I am far from denying that capital can be laid out productively, but in addition to the exercise of judgment by the investor, the direction of an employe' usually, and the labour of men invariably, are requisite.
But if people past their working days were to live " off the top " instead of seeking to transmit the whole of their savings at (heir death, and even to multiply them, they would not merely give the conectors of taxes and of death dttties less to do. but also reduce the amount of debt which so much hampers our economy. .
hopt . that this will not seem to throw cold water on your valiant efforts to reform our society. All I thought to do was to clear the road.
H. F. WE-STWOOD.
Tore Farm, Hathersape, near Sheffield.