The work of the Councils for the last two years has made it necessary for non-co-operators to enter the Councils. The Bureaucracy has received added strength from these Reformed Councils, and those who have entered the Councils, speaking generally, have practically helped the cause of Bureaucracy. What is most necessary to consider is the fact that taxation has increased by leaps and bounds. The expenditure of the Government of India has grown enormously since the pre-war year 1913-14. In that year the total expenditure of the Government of India amounted to 79 crores and 37 lakhs; in 1919-20, it rose to 138 crores, and in 1920-21, the first year of the reformed system of administration, it stood at 149 crores. The expenses of the current year are likely to be even higher. To meet the successive increases in expenditure, additional taxation was levied in 1916-17, 1917-18, 1919-20, 1921-22 and 1922-23. We may prepare ourselves for proposals for further additional taxation in the ensuing year. In spite of the levy of additional taxation, seven out of the last nine years have been years of deficit. The increase in military expenditure is chiefly responsible for the present financial situation. In 1913-14, the expenses of this department amounted to about 31-1/2 crores, in 1919-20, after the conclusion of the war they mounted up to 87 crores, and in 1920-21 they stood at 88 crores. As Sir Visveswaraya remarks the expenses under the head "Civil Administration" also have shown a perpetual tendency to increase. As a part and parcel of the Reform Scheme, the emoluments of the members of the Indian Civil Service, the Indian Educational Service, the Indian Medical Service and of all the other services recruited in England have been enormously increased; and to maintain some kind of fairness the salaries of the subordinate services which are manned by Indians have also been increased.