§ Sir WALTER NUGENTasked the Chancellor of the Exchequer if farms in Ireland are now valued for probate duty on the putative price they would bring at public auction; and if this system of valuation is usually practised in valuing farms in Great Britain?
§ The FINANCIAL SECRETARY to the TREASURY (Mr. Hobhouse)The answer to both parts of the hon. Baronet's question is in the affirmative, except that, if, by the application of the proviso to Section 7 (5) of the Finance Act, 1894, the net value of the estate for purposes of duty can be reduced to a sum not exceeding £1,000, the estate is entitled to the benefit of the proviso.
§ Sir W. NUGENTMay I ask the right hon. Gentleman if it is now the custom to estimate the capital value of farms in Ireland at 26 times the annual value, notwithstanding the fact that the Land Commission value the same farms at 20 years' purchase?
§ Mr. HOBHOUSEI do not think that can possibly be the case, but I cannot say offhand. The Finance Act of 1894 limits the valuation to 25 years' purchase.
§ Sir W. NUGENTBut if it is done, will the practice be altered?
§ Mr. HOBHOUSEI do not know that it is done, but if a case is brought to my notice, I will inquire into it.