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Jewish Life Reviewed in Latest Cable and Leters

March 12, 1934
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There is much grumbling here among Jews, Moslems and Christians against the proposed income tax. Edgar Shelley, president of the Jerusalem Chamber of Commerce, a retired Australian has been asked to call a meeting to discuss campaign methods to be employed against the proposed measures.

The Haifa Jewish Chambers of Commerce passed a resolution at a recent meeting scoring government attempts to introduce an income tax in a time of prosperity.

An income tax for Palestine has again become a subject of government consideration and an official commission, consisting of the treasurer, William Joseph Johnson, the director of customs and trade, Kingsley Willans Stead, and the District Commissioner for Jerusalem, James Edward Francis Campbell, has been appointed to take evidence from chambers of commerce, representatives of the larger industries and professions, and from the public.

The income tax proposal raised before, evoked serious misgivings of the mercantile and civil communities of Palestine, Jew and Arab alike. It led to various representations to the government opposing the suggestion and the High Commissioner, General Wauchope, explained to a joint meeting of Palestine Chambers of Commerce–Jewish, Moslem and Christian–on December 13, 1932, that while the government had not decided that the income tax would be introduced, nevertheless it had decided to obtain expert advice and the opinions of various sections of the community, and to consider the whole question.

The present announcement by the government add, “His Excellency then emphasized that the last thing government would wish to do would be to check the flow of capital into Palestine, or to make the investment of capital unremunerative.” This had then been the main contention of the Jewish Agency and other bodies interested in the Jewish upbuilding of the land.

“The primary object of an income tax, if one were introduced, would be not to increase the general burden of taxation but to spread its incidence more equitably,” says the official announcement. “The imposition of a heavy income tax such as is levied in England is not contemplated; but the government will consider whether a low income tax, with exemption on small incomes, could not usefully form part of a scheme for making the burden of taxation in Palestine ess onerous.”

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