Monday, April 18, 2011

Re-Runs

This week begins with repeats of two posts which you may have missed.


Post 1 : Canada Post Gets it Wrong (from June 14, 2010 blog)

My first repeat is the story of the Canada Post Office's early attempts at determining the postage due on mail coming into the country from foreign destinations in 1966. The Post Office didn't understand the algebra behind the system of taxation that had been introduced world-wide in 1966. It may be a bit technical but I think it can be a worthwhile read for you.


Unpaid and Underpaid International Correspondence: Canada Post Office's Incorrect and Corrected Methods of Taxation 1966

The "Universal Postal Convention" drawn up by member countries of the Universal Postal Union ("UPU"), are the rules applicable in common throughout the international postal service and the provisions concerning the letter post services. In 1964, the UPU Vienna Congress Universal Postal Rules introduced a new method of taxing unpaid and underpaid correspondence ("Vienna system"). The Vienna system came into effect on January 1, 1966. Initially, the system was not fully understood by all nations, Canada included. In fact, it took six months for the Canada Post Office to correctly tax all categories of postage deficient correspondence. This article first looks at the correct application of the Vienna system so that the reader can understand the Vienna system. The reader will then be fully prepared to understand the discussion of the Canada Post Office's taxation errors from January 1966 to early July 1966.

The Vienna System

Pursuant to Article 29 of the "Rules Applicable in Common Throughout the International Postal Service", members were to handle unpaid and underpaid mail as follows:

...unpaid or underpaidletters and single postcards are liable to charge, payable by the addressee or, in the case of undeliverable items, by the sender : the charge is fixed at double the amount of the deficient postage, multiplied by the ratio between the charge adopted for letters at the first weight step by the Country of delivery and the corresponding charge adopted by the Country of origin, provided that the charge to be collected is not less than 10 centimes [gold].[emphasis added]

The 1964 charging Rules did not deal with correspondence other than letters and single postcards. This oversight was corrected at the 1969 Tokyo Congress . Article 18 of the "Rules Applicable in Common Throughout the International Postal Servie" dealing with unpaid or unpaid mail describes the charge as, "Charge on unpaid or underpaidcorrespondence." [emphasis added]

The formula provided by Article 29 was clarified by Article 142 which provided instructions to the countries of origin and destination as to how underpaid items were to be marked

Article 142
Unpaid and Underpaid Mail

1. Items on which a charge is to be collected after posting, either from the addressee or, in the case of undeliverable items, from the sender, are marked with a T stamp (postage due) in the middle of the upper part of the front : beside the impression of this stamp the Administration of origin enters very legibly in the currency of its Country the double or single amount, as the case may be, of the underpayment, and under the fraction line, that of its charge valid for the first weight step letters.

....

3. The delivering Administration marks the item with the charge to be collected. It determines this charge by multiplying the fraction resulting from the data mentioned in paragraph 1 by the amount, in its national currency, of the charge in the international service to the first weight step for letters.

a) Correct Taxation of Letters

The cover below from Rexdale to Vallingby, Sweden, November 14, 1966, June 25, 1968, was underpaid. The UPU surface rate was 10 cents. The deficient postage was 5 cents.






Canadian Marking : Tax Fraction


The Canadian Post Office, the originating country, taxed the correspondence.



The tax marking is a fraction as described in paragraph 1 of Article 142. The numerator is the amount to be charged (in this case 10c, double the deficient postage), and t
he denominator is the Canadian international letter rate (the letter rate was 10c at the time of mailing)

The tax fraction was then used by the Swedish Post Office to calculate the amount to be charged. The 1964 Vienna rules made the calculation a simple matter without the necessity of using conversion tables.

Swedish Calculation

As explained above, the delivering Administration determines the amount due by multiplying the fraction marked by the Administration of origin by the delivering administration's first weight step international letter rate.

The Swedish post office multiplied the Canadian fraction (10/10) by the Swedish international letter rate (60 ore).





In this case, the letter was charged 60 ore (label) and the amount due paid with a 60 ore stamp.


Swedish Due Label 60 ore


Swedish 60 ore stamp paying the tax


b) Correct Taxation of Post Cards


The post card below from Toronto to Budapest, November 15 1966 was underpaid. The UPU surface post card rate was 6 cents. The deficient postage was 4 cents.



Canadian Marking : Tax Fraction

The Canadian Post Office, the originating country, taxed the correspondence.

The amount to be charged was double the deficient postage. In this case the deficiency was 2 cents and the amount to be charged was 4 cents.

This is the Canadian tax marking:




The tax marking is a fraction. The numerator is double the deficient postage, 4 (cents). The denominator is the Canadian international letter rate, 10 (cents).

The tax fraction was then used by the Hungarian Post Office to calculate the amount to be charged,the Hungarian equivalent of 10 cents. The 1964 Vienna rules made the calculation a simple matter without the necessity of using conversion tables.

The international letter rates for Canada and Hungary were 10 cents and 100 filler, respectively. For charging purposes :

10 cents Canadian = 100 filler Hungarian

The Hungarian Post Office did not have to look this up since the Canadian letter rate was provided in the tax fraction.

Hungarian Calculation

As explained above, receiving post offices calculate the charge by multiplying the originating county's tax fraction by the receiving country's letter rate:



In this case, the post card was charged 40 filler (blue pencil partially covered by postage due stamp) and the amount due paid with a 40 filler postage due stamp.


Hungarian 40 filler stamp paying the tax


c) Correct Taxation of Printed Matter


The printed matter envelope below from Winnipeg to Manila, December 5 1966 was underpaid. The UPU printed matter rate was 4 cents. The deficient postage was 1 cent.




Canadian Marking : Tax Fraction

The Canadian Post Office, the originating country, taxed the correspondence.

The amount to be charged was double the deficient postage. In this case the deficiency was 1 cents and the amount to be charged was 2 cents.

This is the Canadian tax marking:



The tax marking is a fraction. The numerator is double the deficient postage, 2(cents). The denominator is the Canadian international letter rate, 10 (cents).

The tax fraction was then used by the Philippines Post Office to calculate the amount to be charged,the Philippine equivalent of 10 cents. The 1964 Vienna rules made the calculation a simple matter without the necessity of using conversion tables.

The international letter rates for Canada and Philippines were 10 cents and 25 cents (Philippine), respectively. For charging purposes :

10 cents Canadian = 25 cents Philippine

The Philippine Post Office did not have to look this up since the Canadian letter rate was provided in the tax fraction.

Philippine Calculation

As explained above, receiving post offices calculate the charge by multiplying the originating county's tax fraction by the receiving country's letter rate:



In this case, the printed matter item should have been charged 5 cents. However, the Philippines Post Office charged 4 cents.:


Handstamp applied January 24, 1967



4 cents affixed to back of envelope Cancelled January 26, 1967

For the charging of all correspondence then, the denominator of the tax fraction was the international letter rate of the originating country. The denominator for all deficient international correspondence originating from Canada should have been 10 cents. In the next section, Canada Post Office's incorrect taxation for the first six months of 1966 and its cost implications to addresses will be considered.

2. Canada Post Office's Charging Errors : January to Early July 1966

Initially, the Canada Post Office did not grasp the mechanics of the Vienna system . A review of how the Canada Post Office charged deficient post cards and printed matter from January to early July, 1966 points this out. This section shows how the Canada Post Office incorrectly charged post cards and printed matter for the first six months of 1966.

a) Incorrect Taxation of Surface Post Cards (January to Early July 1966)

i) T 4/6 Error

The post card below from Scarborough to Netherlands was underpaid. The UPU surface post card rate was 6 cents. The deficient postage was 2 cents.




Canadian Marking : Tax Fraction

The Canada Post Office, the originating country, taxed the correspondence.

The amount to be charged was double the deficient postage. In this case the deficiency was 2 cents and the amount to be charged was 4 cents.

This is the incorrect Canadian tax marking:




Consequences of the Canadian Error for the Addressee

There are no Dutch charging marks on the post card. If the Netherlands post office had taxed it according to the Vienna system, the Canadian error would have caused the addressee to pay a charge 55% higher than the correct tax (27 cents instead of the 16 cents, not considering rounding and minimum charge) :




Collection of Higher Tax because of 4/6 Canada Post Error

An example of a higher fee collected from an addressee because of the Canada Post Office's error can be seen on page 14 of John D. Arn's "Canada-Cameo Definitive Issue" (2005) British North American Philatelic Society. Mr. Arn has kindly given me permission to post the image from his book:



The post card was mailed from Victoria to Stockholm, Sweden, on April 10, 1966, shortpaid 2 cents and incorrectly taxed T 4/6 as was the Dutch post card taxed above. The Swedish post card charged the addressee 40 ore (label affixed) based on the following calculation:




The correct amount that should have been charged was 24 ore:



The Swedish Post Office would have rounded this up to 25 ore.

Because of the Canada Post Office fraction error, i.e. 4/6 instead of the correct 4/10, the Swedish addressee paid 40 ore instead of the correct 25 ore tax!

ii) T 2/6 Error

The post card below from Niagara Falls to Budapest, Hungary was underpaid. The UPU surface post card rate was 6 cents. The deficient postage was 1 cent.




Canada Post Office Incorrect Taxation



The Hungarian post office charged 40 fillers which appears to have been the minimum charge.

iii) Taxation of Airmail Post Cards

The air mail post card below, mailed from Lachine to Broma, Sweden, in May 1966 was shortpaid 2 cents. The air mail post card rate was 10 cents (the same amount as the international letter rate).



The Canadian tax fraction , covered by the Swedish stamp, is 4/10. This is the correct fraction. How did Canada Post get this one right? Based on the previous incorrect fractions this is how it may have happened:



The denominator was the air mail post card rate. However this was the same fraction obtained using the correct method:



The 4/10 fraction resulted in a charge by the Swedish post office of 25 ore calculated as follows:






This card confirms that the Canada Post office's error caused the addressee of the Arn post card to be charged an incorrect amount by the Swedish post office, i.e. 40 ore instead of the correct 25 ore)

iv) Incorrect Taxation of Printed Matter


The printed matter envelope below from Kingston to Iver Heat, England, May 1 1966, was underpaid. The printed matter rate was 4 cents. The deficient postage was 1 cent.



Canada Post Office Incorrect Taxation


The correct Canadian fraction should have been 2/10

The British tax was 2d. One can only speculate as to how the British Post Office came up with 2d. :




Canada Post Office Corrects Its Taxation Error

In early July, 1966, the Canada Post Office corrected the taxation error and began taxing international deficient correspondence with fractional markings whose denominator was 10, regardless of the class of correspondence. It should be noted that Canada was not alone in charging correspondence incorrectly. Errors have been seen on covers charged by the Australian post office.

This article has not dealt with other issues such as how the Canada Post Office charged incoming mail with fractional taxation from January to early July 1966. The author has simply not come across that type of cover. A search at the archives containing Post Office correspondence of the period might uncover relevant information.


Post No. 2 Mail from Members of Parliament (from June 16, 2010 blog)

We are in the middle of a federal election campaign and there can be no better than now to look at a posting that discusses House of Commons mail.


Free Mail During the Centennial Period
Members of the House of Commons


This article deals with free mail sent by Members of the House of Commons during the Centennial period.


At the beginning of the Centennial period, letters and other mailable matter addressed to or by any Member of the House of Commons while at Ottawa, during any session of Parliament, or during the ten days immediately preceding or following a session of Parliament could pass free of postage provided these letters and other matter were posted at or addressed to the House of Commons and not to the private residence in Ottawa of the member.

This was amended on July 1,1971. Members of the House of Commons could send mail, free of postage, from any place in Canada and receive mail, free of postage, at any place in Canada, at any time of the year, for the duration of Parliament and ten days following dissolution of Parliament.

In addition, on and after July 1, 1971, members of the House of Commons could send from any post office in Canada free of postage to constituents four mailings of printed "householder" matter, for any fiscal year.

Parliaments during the Centennial period and examples of Free mail

There were three Parliaments during the Centennial period:

1. 27th Parliament : January 18, 1966 - March 23, 1968
2. 28th Parliament : September 9, 1968 - September 1, 1972
3. 29th Parliament : January 4, 1973 - May 4, 1974

1. 27th Parliament : January 18, 1966 - March 23, 1968

This minority parliament under Liberal Prime Minister Lester Pearson was the first Parliament of the Centennial period.

The first cover shows the elements which are seen on free mail letters from Members of Parliament:



In the lower left corner of the envelope is the name of the member. It is the handstamped signature of Member of Parliament Alvin Hamilton:



The House of Commons dated meter with hour indicia in green ink indicates that this is a Free letter:


Mailed August 23, 1967 at the 11th hour

The reverse of the envelope usually identified the letter as being sent from the House of Commons:





The biography and photograph of Alvin Hamilton, Member of Parliament, can be found at the House of Commons web site:

http://www2.parl.gc.ca/Parlinfo/Lists/Members.aspx?Parliament=0d5d5236-70f0-4a7e-8c96-68f985128af9

(The above URL was correct on June 15, 2010)



The author's album page for this cover looks like this:




The second cover is from a Member of Parliament whose initials are stamped in the lower left hand corner:



In this case the MP is only identified by intials:



The member can be identified by going through the House of Commons MP alphabetical list posted on the House of Commons web site:



"J.G.L. MP" is James (Jim) Gordon Lind.

Here is the author's album page for this cover:



2. 28th Parliament : September 9, 1968 - September 1, 1972

Pierre E. Trudeau led the Liberals to a majority government in 1968.


Card autographed by Trudeau during the 1968 campaign

David Weatherhead (Scarborough West)



Wally Nesbitt (Oxford)



Unidentified MP

When several MPs have the same initial, identification of the MP is never a certainty. The address to which the letter is written may assist in the identification, since Members' mail is often addressed to constituents. The initials corresponding to the MP whose riding matches the address on the letter is the most likely MP. The riding list is available from the House of Commons web site. The identity is only suggestive since it is possible that an MP could have written the letter to a non-constituent.

The MP with initials "G.B."could not be identified:






Three Members of Parliament had the intials G.B.:

Gerald Baldwin (Peace River, Alberta)
H. Gordon Barrett (Lincoln, Ontario)
Gustave Bloiun (Manicouagan, Quebec)

The handstamps produced for the next Parliament included the constituency name.

3. 29th Parliament : January 4, 1973 - May 4, 1974

The Canadian federal election of 1972 resulted in a Liberal minority government under Prime Minister Pierre Trudeau.

Walter Baker (Grenville-Carleton)

The MP initial handstamp which included the riding name was introduced in the 29th Parliament.








John Diefenbaker (Prince Albert)

Former Prime Minister John Diefenbaker ended his political career as an opposition party MP. His handstamp had been manufactured for an earlier Parliament.