The disposition towards direct taxation on property must be increasing
rapidly in France. Rentes have been considered the safest of all investments because they are held by such multi- tudes of investors, and because Frenchmen understand that good credit means a power of borrowing cheaply. On Thurs- day, however, a resolution was proposed in the Chamber, calling on the Government to put a tax upon State Rentes, as distinct from other property. It was, of course, resisted by the Premier, who declared very properly that such a tax would never be even considered ; but to the amazement of the Chamber it was rejected by only 296 votes to 216. The truth is, we presume, an immense number of Deputies think their constituents share in the "bloated bondholder" feeling, and regard Rentes as property enjoyed without actual labour. They therefore vote for its taxation, never thinking that if the taxpayer specially taxes his debt he must at the next borrowing pay higher interest. That is a very ominous vote.
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