§ MR. CLELAND (Glasgow, Bridgeton)To ask the Secretary to the Treasury 382 whether, having regard to the decision of the City Commissioners in the case of Mr. Duff, it is the intention of the Revenue authorities to tax under Schedule E of the Income Tax Act the servants of English companies resident and earning their salaries abroad; and whether such a course is in accordance with the practice hitherto pursued under Schedule E.
(Answered by Mr. Runciman.) It is not intended to make any change in the existing practice, which is as follows:—Where servants of an English company are wholly resident abroad and do not discharge any of their duties in the United Kingdom, they are not regarded as assessable to income tax on their salaries. Where a person, though resident abroad, holds a directorship of an English company and attends meetings of the directors in the United Kingdom, he is assessable to income tax on his fees as director under Schedule E. This was Mr. Duff's case.