HC Deb 07 July 1932 vol 268 c638W
Mr. RHYS DAVIES

asked the Chancellor of the Exchequer the rate of commission to be paid to bankers and brokers for converting the 5 per cent. War Loan and the total amount to be paid in this connection if the whole of the loan is converted?

Major ELLIOT

Commission is payable to bankers, brokers and solicitors or Scottish law agents in respect of applications for continuance in the loan which bear their stamp at the rate of 5s. per £100 nominal if the application is notified not later than 31st July, or at the rate of 2s. 6d. per £100 nominal if the application is notified after that date, but not later than 30th September, 1932. The total amount of 5 per cent. War Loan outstanding on 31st March last was £2,085,000,000, but it is, of course, impossible to say how far applications will be made on forms bearing the stamp of an authorised agent, or which rate of commission they will earn.

Lord APSLEY

asked the Chancellor of the Exchequer whether the one per cent. cash bonus, payable to holders of 5 per cent. War Loan who notify not later than 31st July their desire to continue in the loan, will, in the case of the ordinary investor or of the beneficiary under a trust who is entitled to receive the bonus by virtue of Section 15 (2) of the Finance (No. 2) Act, 1931, be free from liability to Sur-tax as well as from liability to Income Tax at the standard rate?

Major ELLIOT

Yes, Sir. The freedom from liability which applies in the case of the ordinary investor and the beneficiary under a trust who is entitled to receive the bonus by virtue of Section 15 (2) of the Finance (No. 2) Act, 1931, extends to Sur-tax as well as to Income Tax.