HC Deb 05 May 1885 vol 297 c1640
MR. W. H. SMITH (for Lord GEORGE HAMILTON)

asked Mr. Chancellor of the Exchequer, If it has been the general practice of the Inland Revenue to levy any Death Duty on a tenant's interest in the occupation of agricultural land in Ireland when inherited or acquired by bequest; and, whether his alteration of the existing Death Duties will interfere with the present practice?

MR. HIBBERT

I presume that the right hon. Gentleman refers to tenants' interests under the Land Act of 1881. Such interests are regarded as portions of the personal estates of the tenants, and are now chargeable with Probate Duty, and also, like ordinary leaseholds, with Succession Duty. But inasmuch as personal estates under £100 in value are exempt from Death Duties, many such interests are not taxed at all; while, if the whole personal estate does not exceed £300 in value, as a general rule a single payment of 30s. covers all Death Duties. No charge at all will be made in these cases, which must be very numerous. The rate to be added to the Succession Duty will not apply to any property which is subject to Probate Duty; and, therefore, the tenants' interests in Ireland which pay Probate Duty will only be affected by the proposed legislation in two particulars—namely (1), if the owner of such an interest possesses it absolutely he will pay a Succession Duty based on the capital value of the interest itself instead of his own life interest in it; (2) he will pay the duty by four yearly instead of eight half-yearly instalments.