HC Deb 25 October 1909 vol 12 cc780-1

Where in pursuance of any public, general, or local Act any capital sum or any instalment of a capital sum has been paid to any rating authority in respect of the increased or enhanced value of any land due to any improvements made or other action taken by the authority, the amount of that capital sum or instalment shall be deducted from any increment value of the land for the purposes of the collection of Increment Value Duty and from the site value of the land for the purposes of the collection of Undeveloped Land Duty, and in the case of Increment Value Duty the duty on the amount deducted shall be deemed to have been paid.

6.0 P.M.

Mr. WALTER GUINNESS moved, after the word "paid" ["paid to any rating authority"], to insert the words "or any charge based on a capital sum is or has been payable."

This is an Amendment which the Government undertook to insert during the Report stage. In the case of certain local Acts the betterment is paid on an annual basis. The particular case I mentioned in Committee was the case of London, where certain betterment charges have been allowed under local Acts for public improvements, and in most cases the system has been to charge betterment at 3 per cent. upon half the increase in value. That is on all fours with the betterment contemplated in this Bill, and I think the Government will be well advised to carry out their promise to accept this Amendment.

Mr. G. D. FABER seconded the Amendment.

Sir W. ROBSON

I think the hon. Member will find that this point is covered. Clause 41, which deals with definitions, provides that "the expression fixed charge' means any rentcharge as defined by this Act, and any burden or charge arising by the operation of law or imposed by any Act of Parliament." Those words cover the point raised by the hon. Member.

Lord R. CECIL

But there is nothing about "fixed charge" in Clause 36.

Sir W. ROBSON

No, but it is included in the deductions.

Amendment negatived.

Amendment made: After the word "duty" ["collection of Undeveloped Land Duty"] to insert the words "and from the value of the benefit accruing to the lessor for the purposes of Reversion Duty."