A study of the budget-making system of foreign countries reveals the fact that all budgets must obtain the approval of the legislative, and the executive branches of the State, Originating from the executive branch, they are adopted by the legislative branch and finally examined by the Auditing Com: mittee. At this tutelage stage of the government, under the rule of the Kuomintang, and prior to the formation of the legislative assembly, a Budget Committee should be appointed by the Nationalist Govermment to have temporary charge of the duty of budget-making. Speaking from the administrative point of view, the national govern ment should have a definite adminis trative policy, by having a well made, well balanced and well audited budget. A sound budget is necessary to the establishment of sound financial'system. In short, the rehabilitation of finance and the establishment of a clean and efficient government cannot be realized unless a sound system national budget is enforced.
Tu summing up, the rehabilitation of finance depends entirely on the unification of finance and the establishment of a national budget. The reason why the Government has not been able to bring about any funda mental readjustment in the past is twofold:—(1) During the time of war, taxes were the sources ut military revenue and any change taxation might cause a shortage in military funds, so that the status quo must be maintained, and (2) prior to the revision of treaties any change in tariff or other matters wwolving foreign relations might cause serious diplomatic difficulties. Now that the Northern Expedition has been concluded and the country is to be unified, especially as the abolition of Wikin has been decided upon and the recovery of tariff autonomy has been promised by the foreign Powers, it has become possible for the Government to carry out plans of fundamental reorg ganization. 3 There were reasons in the past! for the existence of numerous tax organs. Take for instance, the Customs Surtax, Petroleum tax, and other special import duties." To amalgamate these collections with the Castoms collection would affect the Customs administration, which was not permitted. Besides, before
Text read from the printed page and cleaned; old type leaves the occasional error.