1. The rates and taxes are included in the rent, only the lighting is additional. 2. Less furniture and fewer servants are required, as the rooms are all on one floor. 3. It is easier to check the servants, seeing when they go in and out, and preventing their giving or selling any perquisites. 4. It is safer when the mistress is absent than an ordinary house would be, as the porter takes it under his charge. On the other side, there are few conveniences for storing, the servants' accommodation is generally very poor, and all sounds are heard by neighbouring residents, so that where there are children the flat is inconvenient.
Assessment means the official valuation of income or property for purposes of taxation. Returns are made periodically by the occupiers of the amount of rent paid, and on these returns the assessment is made. This is based on no definite principle, necessity being the chief factor, so that it is high or low according to the expenditure of the corporation. The term "rates" includes (1) the Poor Rate, (2) the General District Rate, and (3) the Water Rate.
The money raised by the POOR RATE is expended on relief of the poor, other expenses of the guardians, intermediate education, technical instruction, elementary education, higher grade schools, continuation evening classes, public libraries, salaries, etc This rate varies in different towns ; in Cardiff in 1913 it is 3/10 in the £1 for the year, paid half yearly.
THE GENERAL DISTRICT RATE in Cardiff (1913) now amounts to 3/6 in the £1, or 1/9 each half year. This rate is expended on the following items : highway maintenance, street improvements, sewers, public-street lighting, electric lighting, the laying out and keeping up of various parks, sanatoria, scavenging, watering of roads, drinking-fountains, markets, public baths, museums, port sanitary authority, salaries, etc.
The WATER RATE amounts to 5 % on the assessment of the rent. This rate is always chargeable on any furnished house, even if unoccupied. Three months' notice should be given before leaving a house. Occupiers changing residence, taking fresh premises, or giving up occupation, should at once send full particulars, with dates, to the chief collector, so that the rate-book may be altered accordingly.
Assessment is required for (1) the Land Tax, (2) Inhabited House Duty, (3) Income Tax, and (4) Estate or Death Duty.
Houses at a rental of £20 per annum or under are exempt from the INHABITED HOUSE DUTY. This varies according to the value of the house, being-
3d. in the ,£1 from £20 to £40 yearly.
6d " " £40,, £6o „
9d. ,, ,, £60 ,, £100 ,,
and so on.
Income derived from landed property, including houses, is assessed at its annual value, less one-eighth off for local rates, and one-sixth off for repairs. Thus a house let at £40 yearly would be assessed thus :-
1/8 of £4o =
1/6 of £40 =
The two together =
8 yearly assessment.
Total exemption from this tax may be claimed by those whose income is under £160 yearly. At present the income tax is 1/2 in the £1; but abatement may be claimed up to £700 yearly in the following manner:-
Incomes under £400 yearly are allowed a deduction of £160
Those between £400 and £500 „ „ „ £150
,, ,, £500 „ £600 „ „ „ £l20
£600 „ £700 £70
That is to say - those possessing an income of £400 only pay the income tax on £240, and so on. By the Finance (1909-10) Act, 1910, a further tax called super-tax is payable on incomes exceeding £5000 at 6d. in the £1 on the excess over £3000.