§ MR. AINSLIE (Lancashire, N. Lonsdale)asked Mr. Chancellor of the Exchequer, If the Income Tax Commissioners have full power to decide within their own districts what amount of deduction may be made for wear and tear of machinery; if the deductions so allowed vary considerably in different districts, even when under presumably similar circumstances; and whether, if it can be proved to his satisfaction that such inequalities exist, he will consider the propriety of amending the law, so as to enable the General Commissioners of Income Tax to call in an expert in cases where the correctness of their decision in this respect is called in question by an appellant?
§ THE CHANCELLOR OF THE EXCHEQUER (Mr. GOSCHEN) (St. George's, Hanover Square)The General Commissioners of Income Tax and the Special Commissioners are by law empowered to determine what allowance for "wear and tear" of machinery is "just and reasonable" in determining the amount of Income Tax chargeable on the profits of manufacturing concerns assessed by them, and their decision is final. Statements have been made, from time to time, that the allowances granted in different districts are not identical. Premising that uniformity of practice is desirable, it is not thought that the calling in of a valuer would secure it; inasmuch as it is common knowledge that estimates of value made by different valuers of the same property vary considerably. The Local Commissioners of Taxes, being practical men, may, it is 1268 thought, be trusted to exercise fairly their functions in this matter; and it is thought they would not object to examine any valuer tendered by an appellant for examination. Moreover, it is open to any taxpayer to elect to be assessed by the Special Commissioners on giving the required notice, should he prefer to go to them instead of to the Local Commissioners of the district.