To the Editor of the Nonru-Cutwa Day News"
Sm—Your leaders "Evasion" and "Clogged Wheels" followed by the excellent letter by Monrcacry' certainly does raise questions and creates causing one furiously to think, With the Chinese Govern-Ment' constantly commending the Advantages of the Income Tax Law to itself and the necessity of all and sundry, especially foreigners, consent to contribute their quota without cavil, one begins to query on the ultimate results, should they decide to acquiesce to this new law.
For many years Shanghai's credit has been built on the value of land and property causing Investors, banks and loan societies to lend their resources out on mortgage which was then considered to be second only to debentures. Alas! China decides on new form of mortgage law casting, mortgagee's into the discard and throwing mortgagor's credit to the four winds, thus making it impossible for the former to collect their legitimate interest let alone the re~ tum of their capital while, at the same time, preventing the latter obtaining further loans. "One cannot have their cake and eat it" is an old maxim now being demonstrated. Such being possible under one of Nanking's new laws what will eventually happen if the Extraterritorial powers place their nationals over the thin end of the Income Tax wedge Shanghai, Oct. 19,
Text read from the printed page and cleaned; old type leaves the occasional error.