§ MR. SCHWANN
I beg to ask Mr. Chancellor of the Exchequer whether the reduction of one-sixth, usually allowed to landlords from the income charges under Schedule A for repairs, will in future be reduced to a smaller percentage in cases where, by lease or yearly agreement, tenants undertake to keep the decorations and internal fittings in good condition; and whether this new scale will be effectively put in force throughout the whole country, and on all classes of property.
§ THE CHANCELLOR OF THE EXCHEQUER (Mr. AUSTEN CHAMBERLAIN,) Worcestershire, E.
No, Sir. The 949 abatement is, with some not material exceptions in certain special circumstances, allowed in full on the amount at which house property is assessed. But, in making the assessment, regard is had to the tenant's obligations in respect of repairs, and a proportionate addition is made to the reserved rental in order to arrive at the rack-rental as defined in the Income-Tax Acts. This is not a new principle. It is prescribed in the Acts, and is, I believe, always acted upon by the Local Commissioners of Income-Tax by whom the assessments are made.