§ Mr. SANDERSasked the Chancellor of the Exchequer whether demand notes for Income Tax, under Schedules A, B, D, and E, have been issued since 1st January in the county of Somerset; whether he is aware that no such demand notes have been issued in Lancashire and Yorkshire; and what is the reason for this preferential treatment of the latter counties?
§ Mr. LLOYD-GEORGEAs I stated in my answer of the 7th instant to a question by the hon. Member for Thanet, the issue of demand notes is primarily a matter for the decision of the local Commissioners of Taxes, with whose discretion I have no power to interfere.
§ Mr. AUSTEN CHAMBERLAINAre these demand notes issued by the local Commissioners of Inland Revenue? Is not it a fact that the assessment is made by local Commissioners of Taxes and the demand notes are issued by the collectors of the Inland Revenue?
§ Mr. LLOYD-GEORGEI would not be quite sure. My impression is that it is perfectly correct to say that they are issued by collectors of the Inland Revenue, but I think it is under the instructions of local Commissioners. That is the explanation given by the Inland Revenue to me why in some districts demand notes are circlated and in others they are not. I understand that these demand notes are issued by collectors, but under instructions from local Commissioners.
§ Mr. AUSTEN CHAMBERLAINWhilst collectors of the Inland Revenue cannot issue demand notes until the Commissioners have made an assessment, it is not in the power of the Commissioners to direct collectors whether they should issue demand notes or not. That is entirely for the Chancellor of the Exchequer or the Treasury.
§ Mr. LLOYD-GEORGEI think that the right hon. Gentleman has forgotten the practice. I may remind him that the whole set of documents is in the nature of instructions to collectors. The assessment —and there are other documents besides— and those constitute a complete set of instructions to the collectors to proceed by means of demand notes, and not merely by means of demand notes, but by means of distress.
§ Sir A. ACLAND-HOODCan the right hon. Gentleman say where the money which I and my constituents have paid is deposited
§ Mr. LLOYD-GEORGEI hope that I have got hold of some of it.
§ Mr. AUSTEN CHAMBERLAINArising out of those answers, is it the fact that the Treasury are refunding Income Tax to people who are entitled to a refund, but that the Treasury itself has not received 33 the money from the people who have collected it?
§ Mr. LLOYD-GEORGEI think the right hon. Gentleman should give notice of that question. If he can give me any instances I shall certainly make inquiry.
§ Lord HUGH CECILMay I ask the right hon. Gentleman whether a sum of money is now lying at the Bank of England in respect of Income Tax?
§ Mr. LLOYD-GEORGEI gave an answer to that question last week. There is a considerable sum, I think, £200,000.
Mr. YOUNGERMay I ask whether the right hon. Gentleman has had an opportunity of ascertaining whether, and, if not, why not, the assessment made by the Special Commissioners has not yet been demanded, and which has nothing to do with the local assessment at all?