§ MAJOR EVANS GORDONI beg to ask Mr. Chancellor of the Exchequer whether foreign banking firms with branches established in this country pay income-tax; and, if so, how and on what part of the profits the amount is assessed.
§ MR. AUSTEN CHAMBERLAINForeign banking firms having branches established in this country pay income-tax. Assuming that the head office and chief seat of control are out of the United 774 Kingdom, income-tax is assessed, in accordance with the rules of Schedule D, on the profits arising from the business carried on within the United Kingdom.
§ MAJOR EVANS GORDONasked if balance-sheets were published by these firms.
§ MR. AUSTEN CHAMBERLAINI cannot undertake to say what balance-sheets are published by foreign firms trading in this country.
§ MAJOR EVANS GORDONsaid the object of his Question was to ascertain if there were any means of checking the assessments and returns made by these firms.
§ MR. AUSTEN CHAMBERLAINsaid there were the same means of checking the returns as there were in reference to other firms Primarily the Commissioners were dependent on the declaration of individuals, but this prima facie evidence did not prevent the Commissioners from pursuing inquiries of their own, nor did it necessitate their acceptance of the statements made.