M. Caillaux began his speech on Tuesday by saying that
he agreed "in the main" with the Experts' Report, though he did not approve of their proposals for taxation. As the Treasury was unable to meet the capital expendi- ture on the railways and the devastated areas, he felt that these obligations must be met not by taxation but by a loan. As for taxation, he thought that he might fairly look for an additional revenue of three milliards. In his opinion the high rates of Income Tax and death duties were defeating themselves and must be reduced. He proposed to simplify the system of taxation which was now so complicated that it was beyond the under- standing even of the officials. He would ask Parliament for "full powers" to make the alterations statutory. The improvements in the system ought to bring in two milliards, and he would rely upon getting one milliard from increased railway tariffs and a new tax upon motor lorries. * *
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