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The effect of the 10 per cent bul-- lion tax levied by the Dominion Government five years ago has not been forgotten, nor have its effects completely passed. There is little question that disturbance of the tax structure at this time will do noth-- ing to increase the popularity of mine investments in Ontario, to say the least. It is discouraging to be told one year that taxes would be stabilized at former levels and then to wake up to find they have been suddenly doubled in the next. What is needed most to insure continued mining prosperity is encouragement \and stabilized taxation for a definite period. About the only reassuring feature of the latest move is that there has been no discrimination. All corporations are affected. Last year, as indication of the profits earned by mining corpora-- tions in Ontario, the records show that over $64 million was distributed in the shape of dividends. If we read the purport of the amendments correctly, it means that the tax upon that part of net profits represented by dividends last year reached close \to $650,000 and will now be lifted to $1,300,000. Whatever may be the necessities of the government, the first reac-- tion among mining men and other thousands who realize the import-- ance of mining in its bearing upon the prosperity of this nation will be one of regret that, just at this time, when the capital of other nations is beginning to turn this way in in-- creased amounts, it has been found necessary to throw one more mon-- key--wrench into the smooth--mov-- ing machinery. While, perhaps, the bigger com-- panies can stand this increase, on the principle that the rich must pay, it must not be forgotten that they are owned, not by a few, but by thousands upon thousands of small investors throughout Canada, Unit-- ed States and Great Britain. In printed figures, that does not look like a very important change, but if the increased tax on net in-- come is applied to the dividend-- paying companies of this province, it can readily be seen that there will While the tax on employed capi-- tal is halved, from one--tenth of 1 per cent to one--twentieth of 1 per cent, the tax on net incomes is in-- creased from 1 per cent to 2 per cent. As a matter of fact, the increased impost, though somewhat more modest in its demands, at least to start with, is reminiscent at first blush of the undistributed profits tax of United States, which, in the opinion of leading business men of that country, has done more to hold back recovery than any other one piece of legislation in New Deal history. While closer study of the details of the amendments_to the Corpora-- tions Tax Act will be necessary be-- fore definite effect upon mining companies can be gauged, it is very certain that the net effect upon profitable mining operations will be burdensome. be a large accretion. (By sIDNEY NORMAN.) (Mining Editor, The Globe and Mail) Corporations Tax Rise Is Seen by Mining Men As Disturbing Influence Authority is asked also for power to regulate not only the erection of sign boards, but the location of markets and stalls within a quarter of a mile of the King's highways. The section, it is believed, will be made particularly applicable to the new Middle Road between Toronto and Hamilton. The revision «!lso abolishes the special treatment heretofore ac-- corded loan, trust, gas and electric companies. These now become sub-- ject to the ordinary provisions of the statute. Banks, insurance com-- panies, railways, telegraph and ex-- In an amendment to the High-- way Improvement Act, Hon. T. B. McQuesten, Minister of Highways, sought authority for the expropria-- tion of any land required for the Canadian approach to the new in-- ternational bridge at Niagara Falls. The bridge, it is planned, will re-- place the old "honeymoon bridge," battered down by an ice--jam last year, The Ontario act is revised also to conform with the provisions of the Dominion Income Tax Act. The pos-- sibility is seen that Ottawa will be asked to collect the 'ix with the machinery that is employed to col-- lect Federal income tax. For the first time, provision is made for appeal against assessments made by the provincial treasurer. It was also emphasized in explana-- tion, that the rates under the pro-- posed amendment were still lower than those of Quebec, which im-- posed a levy of one--tenth of 1 per cent upon paid--up capital and 24 per cent on net increase. Under an amendment to the Cor-- porations Tax Act, introduced be-- fore the Legislature yesterday by Hon. Paul Leduc, Minister of Mines, the levy on the net income of cor-- porations is increased from 1 to 2 per cent, and the tax on employed capital is reduced * m 1--10 of 1 per cent to 1--20 of 1 per cent. The amendment, which is ex-- pected to add materially to the pro-- vincial revenue, is designed to lighten the capital tax, which is payable whether or not a corpora-- tion is earning profits and to trans-- fer a heavier burden on the income-- earning companies. An appreciable Increase in the tax load of mining companies is anticipated by the change. press companies are not required to pay taxes upon incomes. MARCH 28