No. 178.
Mr. Marsh
to Mr. Evarts.
Rome , June 1, 1877. (Received June 18.)
Sir: Although much improved in health since Mr. Wurt’s dispatch No. 676, I do not yet think it prudent to undertake any work requiring continued attention. I may, however, notice certain proceedings in the Italian Parliament of some interest. The Italian ministry has gained, in spite of strenuous opposition, a victory of some importance in the imposition of increased duties on sugar, and in the rejection of a motion for the reduction of the charges on salt, which is a government monopoly, by 55 centimes per kilogram. It is apparent, however, from the tone of the debate and from other evidence, that the success of the ministry is due less to its own strength than to the general repugnance of political men to inflict upon it, in the present posture of public affairs, a defeat involving its retirement and the formation of a new ministry, which, it is thought, could not now be organized from the ranks of the majority. The position of the ministry on these financial questions is thought not to be in harmony with its promises of financial reform and relief; but it proposes, by way of compensation, a considerable reduction in the taxes on personal property, including the income tax. By the law at present in force, incomes as low as 400 francs pay an annual tax of 39 francs 60 centimes. This it is proposed to reduce to 19 francs 30 centimes. The tax on higher incomes will be reduced at the rates of 37½, 33.21 and 12 per cent, for sums of 500, 600, 700 and 800 francs, respectively. The ministerial bill proposing these reductions will undoubtedly pass, and the measure will strengthen the ministry with the country.
I have, &c.,