ABSTRACT
Apart from minor stamp duties, which may fall on wealth-transfers, the only continuing tax on wealth in Great Britain is that brought about by estate duties. Legacy and successive duties were minor duties, complementary to estate duties. The rate at which duties were charged was determined solely by the relationship of the beneficiary to the donor. Estate duties were introduced in 1894, although since that time there have been many changes in detail and in the rates which have been applied. The setting up of the total-accretion principle is an attempt to tax persons on the increment of spending power that accrues to them per period of time. The Finance Bill in 1968 made a special charge on the investment income of individuals for 1967-8, imposed for one year only. The chief difficulty with having an annual wealth tax is the administrative problem of valuation. In their present form, estate duties exhibit most of the disadvantages of a bad tax.
