THE WEALTH 0If NATIONS.

815

sons to whom the the property is transfer red. Taxes uponthe sale of land fall altogether upon the seller. The seller isalmost always under the necessity of selling, and must, there-fore, take such a price as he can get. The buyer is scarce -ever under the necessity of buying, and will, therefore, onlygive such a price as he likes. He considers what the land willcost him in tax and price together. The more he is obligedto pay in the way of tax, the less he will be disposed to give inthe way of price. Such taxes, therefore, fall almost alwaysupon a'necessitous person, and must, therefore, be frequentlyvery cruel and oppressive. Taxes upon the sale of newbuilt houses, where the building is sold without the ground,fall generally upon the buyer, because the builder must ge-nerally have his profit; otherwise he must give up the trade.

If he advances the tax, therefore, the buyer must generallyrepay it to him. Taxes upon the sale of old houses for thesame reason as those upon the sale of land, fall generallyupon the seller; whom in most cases either conveniency ornecessity obliges to sell. The number of-new-built housesthat are annually brought to market, is more or less regulatedby the demand. Unless the demand is such as to alford thebuilder his profit, after paying all expenses, he will buildno more houses. The number of old houses which happen atany time to come to market is regulated by accidents of whichthe greater part have no relation to the demand. Two or threegreat bankruptcies in a mercantile town, will bring manyhouses to sale, which must be sold for what cau be got forthem. Taxes upon the sale of ground-rents fall altogetherupon the seller ; for the same reason as those upon the sale ofland. Stamp-duties, and duties upon the registration of bondsand contracts for borrowed money, fall altogether upon theborrower, and, in fact, are always paid by him. Duties ofthe same kind upon law proceedings fall upon the suitors.They reduce to both the capital value of the sub ject in dispute.The more it costs to acquire any property, the less must bethe neat value of it when acquired.

All taxes upon the transference of property of every kind,so far as they diminish the capital value of that property, tendto diminish the funds destined for the maintenance of pro-ductive labour. They are all more or less unthrifty taxes thatincrease the revenue of the sovereign, which seldom maintainsany but, unproductive labourers; at the expense of the capitalof the people, which maintains none but productive.