§ MR. COGAN (Wicklow, E.)I beg to ask Mr. Chancellor of the Exchequer whether a landlord who has entered into an agreement with his tenants for the sale of their holdings under The Land Purchase Act, 1903, and who is receiving interest on the full amount of the purchase price from the tenants until such time as the capital sum may be advanced by the Land Commission, is liable for income-tax under Schedule A; and whether tenants who have paid such income-tax to the collectors thereof will be recouped the amount by the Land Commission pending the completion of the sale.
§ MR. MCKENNAA landlord is liable for income-tax under Schedule A on the annual value of his lands. In the case of sales through the Land Commission, it is the practice of the Inland Revenue Department to accept from the date of the signing of the agreement—the tax on the amount of interest, in lieu of rent payable by the purchaser, in satisfaction of the landlord's liability. It is only in special cases that income-tax could, in such circumstances, be collected from a tenant. But, if it should be so collected, the tenant 1119 would be entitled to re-imbursement of the tax paid in respect of the amount payable to the landlord as interest.
§ MR. O'SHAUGHNESSYasked what were the special cases in which the income-tax could be collected from the tenant.
§ MR. MCKENNAasked for notice of the Question.