Fourthly, such taxes, by subjecting at least the dealers in the taxed commodities to the frequent visits and odious examination of the tax-gatherers, expose them sometimes, no doubt, to some degree of oppression, and always to much trouble and vexation; and though vexation, as has already been said, is not, strictly speaking, expense, it is certainly equivalent to the expense at which every man would be willing to redeem himself from it.The laws of excise, though more effectual for the purpose for which they were instituted, are, in this respect, more vexatious than those of the customs.When a merchant has imported goods subject to certain duties of customs, when he has paid those duties, and lodged the goods in his warehouse, he is not in most cases liable to any further trouble or vexation from the custom-house officer.It is otherwise with goods subject to duties of excise.The dealers have no respite from the continual visits and examination of the excise officers.The duties of excise are, upon this account, more unpopular than those of the customs; and so are the officers who levy them.Those officers, it is pretended, though in general, perhaps, they do their duty fully as well as those of the customs, yet as that duty obliges them to be frequently very troublesome to some of their neighbours, commonly contract a certain hardness of character which the others frequently have not.This observation, however, may very probably be the mere suggestion of fraudulent dealers whose smuggling is either prevented or detected by their diligence.
The inconveniencies, however, which are, perhaps, in some degree inseparable from taxes upon consumable commodities, fall as light upon the people of Great Britain as upon those of any other country of which the government is nearly as expensive.Our state is not perfect, and might be mended, but it is as good or better than that of most of our neighbours.
In consequence of the notion that duties upon consumable goods were taxes upon the profits of merchants, those duties have, in some countries, been repeated upon every successive sale of the goods.If the profits of the merchant importer or merchant manufacturer were taxed, equality seemed to require that those of all the middle buyers who intervened between either of them and the consumer should likewise be taxed.The famous alcavala of Spain seems to have been established upon this principle.It was at first a tax of ten per cent, afterwards of fourteen per cent, and is at present of only six per cent upon the sale of every sort of property whether movable or immovable, and it is repeated every time the property is sold.The levying of this tax requires a multitude of revenue officers sufficient to guard the transportation of goods, not only from one province to another, but from one shop to another.It subjects not only the dealers in some sorts of goods, but those in all sorts, every farmer, every manufacturer, every merchant and shopkeeper, to the continual visits and examination of the tax-gatherers.Through the greater part of a country in which a tax of this kind is established nothing can be produced for distant sale.The produce of every part of the country must be proportioned to the consumption of the neighborhood.It is to the alcavala, accordingly, that Ustaritz imputes the ruin of the manufactures of Spain.He might have imputed to it likewise the declension of agriculture, it being imposed not only upon manufactures, but upon the rude produce of the land.
In the kingdom of Naples there is a similar tax of three per cent upon the value of all contracts, and consequently upon that of all contracts of sale.It is both lighter than the Spanish tax, and the greater part of towns and parishes are allowed to pay a composition in lieu of it.They levy this composition in what manner they please, generally in a way that gives no interruption to the interior commerce of the place.The Neapolitan tax, therefore, is not near so ruinous as the Spanish one.
The uniform system of taxation which, with a few exceptions of no great consequence, takes place in all the different parts of the United Kingdom of Great Britain, leaves the interior commerce of the country, the inland and coasting trade, almost entirely free.The inland trade is almost perfectly free, and the greater part of goods may be carried from one end of the kingdom to the other without requiring any permit or let-pass, without being subject to question, visit, or examination from the revenue officers.There are a few exceptions, but they are such as can give no interruption to any important branch of the inland commerce of the country.Goods carried coastwise, indeed, require certificates or coast-cockets.If you except coals, however, the rest are almost all duty-free.This ******* of interior commerce, the effect of the uniformity of the system of taxation, is perhaps one of the principal causes of the prosperity of Great Britain, every great country being necessarily the best and most extensive market for the greater part of the productions of its own industry.If the same *******, in consequence of the same uniformity, could be extended to Ireland and the plantations, both the grandeur of the state and the prosperity of every part of the empire would probably be still greater than at present.