_Income Tax._ The income tax, which is levied on incomes other than those derived from agriculture, is only 6½d. in a pound on incomes of £133 or more, a year, and almost 5d. a pound on incomes below that figure. The minimum taxable income is £66 a year, which shows that all incomes of between 5-6 pounds a month, or between 25-30 dollars a month, are taxed. The large fortunes made by Europeans and Indians by trade, speculation, manufacture, and unearned increments of valuation, are thus easily let off. The principle burden of taxation falls on the poor _ryot_. Income from agriculture is supposed to be taxed at the rate of 50 per cent. of the net income of the landlord, or at the rate of 20 per cent. of the gross produce of the ryot, under the ryotwari system. In some cases it exceeds these proportions and is as high as 65 per cent. (See Lord Morley’s reply to C. T. O’Donnell.) _Customs._ Customs, which furnish the principal source of revenue in the United States and Germany, in India only yield about less than 7½ millions. The imports are charged _ad valorem_ duty of 5 per cent. with special conditions as to textiles, and “a large free list.” The textile woven goods pay a duty of 3½ per cent. and Lancashire is protected by a corresponding excise duty on textile goods produced in the country. Iron and steel pay only a nominal duty of one per cent. The other principal source of revenue is the drink traffic, from which the government of India makes an income of about _nine millions_ sterling. How much loss in morals it inflicts thereby on the country may better be imagined. That however is another story. TRADE FIGURES FOR 1913 to 1914 Imports (manufactured articles forming 80 per cent. of the total): £127 millions _Treasure_: 29 millions ------------- £156 millions _Exports_ (chiefly raw produce and articles of food): £163 millions The shipping is entirely in European hands and it would be interesting to enquire how much does India pay for the shipping of its imports and exports, and how much do the foreigners make by way of insurance and other charges. The exact gain to Great Britain and other European countries from Indian trade is simply incalculable. The great bulk of the foreign trade on both sides is in the hands of foreigners. PERSONNEL OF THE GOVERNMENT SECRETARY OF STATE and all Under Secretaries, as well as Assistant Under Secretaries: _British_ COUNCIL: _British_ _Indians_ _Total_ 8 2 10 All Office Establishment and Secretaries: _British_. All salaries and other expenses paid by India. GOVERNOR GENERAL AND COUNCIL _and staff_ (i.e., the British Indian Cabinet). Members of the _Executive Council_: British 7; one only is an Indian.