To the Editor of the "Nortu-Catxa Datty News."
Stn,—Permit mo to invite your attention to the subjoined letter which appeared in the " London and China Telegraph" of 12t May, with reference to the disparity between the London and China value Bank shares, and animadverting on the preferential treatment ut the Tendon shareholders by issuing dividen warrants free of income tax, but withholding that privilege when shareholders on the China register, resident in England, receive their dividends through the London office in sterling.
Now when the income tax was only 2d. in the pound and exchange high, it was no great burden or loss to the Chinese shareholders to have to pay the income tax of thet london shareholders, fr that is whar it amounts to, but since exchange has fallen and the tax risen to 1s. 2d. and likely to be increased this year to Is. 3d. in the pound, concurrently with a further drop in silver, the latter rate of income "tax on £3.10.0 dividend, paid by the Bank for the holders of say 40,000 shares on the London register, represents a sum of $100,000; in other words a loss of $1.25 per share ott the $0,000 shares of the Corporation, or $2.50 per share by which the 40,000 shares remaining un the China' register are mulct in order to defray the income tax on behalf of the London shareholders.
Perhaps you will be yood enough t" ventilate this matter, and urge the China shareholders to move the Directors of the Bank ¢" accord the Eastern shareholders the same advantages as granted to those in London in the matter of dividends received in England, or compensate those on the China register for loss and dis abilities incurred by this preferential treatment of the London shareholders.
Lam, ete., A Suarenouver os Tme Cutsa Reorster Recetvise Divivexns 1s Loxpos. london, 18th June.
Text read from the printed page and cleaned; old type leaves the occasional error.