The new Canadian taxes in the budget for the fiscal year 1918-19 show marked increases, especially in income taxes. Exemption in the case of unmarried persons is reduced from $1,500 to $1,000, and for married persons from $3,000 to $2,000, the rate being 2 per cent. from $1,000 to $1,500 in the case of the unmarried and the same amount from $2,000 to $3,000 in the case of the married. The present rate of supertax is continued upon incomes up to $50,000, and above that there is a gradual increase, reaching 50 per cent. on incomes over $1,000,000. In addition there will be a war surtax upon incomes over $6,000, running from 5 per cent. on incomes between $6,000 and $10,000 and 25 per cent. on incomes over $200,000. It has also been decided to grant an exemption of $200 per child. The total war tax on incomes over $1,000,000 reaches 77 per cent. The tax on tobacco is increased from 10 to 20 cents per pound; on cigars from $5 to $6 per 1,000; on cigarettes from $3 to $6 per 1,000; on foreign raw leaf tobacco from 28 to 40 cents per pound, and on foreign leaf tobacco stemmed from 42 to 60 cents per pound. It has also been decided to place a tax of 10 cents per pound on tea, and it is proposed to increase the duty on coffee to 5 cents for British coffee and to 7 cents for the general tariff. There will be a tax of 8 cents per pack on playing cards and a specific rate customs duty of 5 cents per lineal foot on moving-picture films. A special war excise tax of 10 per cent. is to be imposed upon the selling value of motor cars, jewelry, gramophones, phonographs, mechanical pianos; imported into or manufactured in Canada. The Minister of Finance stated that $258,000,000 was the revenue for the year ended March 31, 1918, with civil expenditures of $173,000,000. The increase in interest and pensions for the coming year was estimated at $25,000,000. The Finance Minister stated that the war expenditures of the last year approximated $345,000,000, of which $167,000,000 had been spent in Canada. Up to March 31 the total outlay on the war was approximately $878,000,000, which included all expenditures at home and abroad. During the last two years they had applied $113,000,000 toward war expenditures, in addition to expenditures on interest and pensions. The net debt of Canada was now approximately $1,200,000,000. He pointed out that trade was annually increasing, and that exports were now much greater than imports. The total trade had increased since 1913 from $1,000,000,000 to $2,500,000,000 last year, the balance of trade in favor of Canada being $625,000,000. Exports to Great Britain totaled $860,000,000, while imports were only $81,000,000. On the other hand, the balance of trade against Canada with the United States was $350,000,000.