EXCESS PROFITS TAX.
ITO THE EDITOR OP THE " SPECTATOR.")
Sist,—If Mr. C. H. St. J. Hornby will refer to my letter he will see that I do not propose a tax on excess over 10 per cent. on the nominal capital of a company; in fact, -I propose that the nominal capital should be disregarded.- My suggestion i's that the intrinsic value -of a concern should be ascertained and 10 per cent. allowed on this free of tax. If any one pays .25 for a £1 nominal share, presumably the profits earned- warrant the price given, and my third item of goodwill based on the last three years' declared profits will meet the case he mentions. As to whether industry should he taxed at all is another question, but if the author•"ities decide that it is necessary let it be done in a way that will throttle enterprise
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