§ 17 and 18. Mr. ROYDSasked the Chancellor of the Exchequer (1) whether any claims for Increment Value Duty have been made since the decision of the House of Lords in the case of Commissioners of Inland Revenue v. Herbert and others; if so, from what datum line increment in such cases is being calculated, and on what value the statutory allowance of 10 per cent. is being made; and (2) whether, in view of the fact that minus site values have been held by the House of Lords to be legal and that no claim for Undeveloped Land Duty can arise in respect 1054 of such sites, which comprise in Scotland a considerable area of land, he will introduce legislation to put undeveloped land in England on the same footing as in Scotland?
§ The FINANCIAL SECRETARY to the TREASURY (Mr. Masterman)Claims for Increment Value Duty have been made since the decision referred to. Increment value is being calculated from the datum line of the original assessable site value or substituted site value, as the case may be. The allowance of 10 per cent. is made, where the occasion is the first occasion for the collection of the duty, on the original assessable site value or the substituted site value. The whole question of minus site values is under consideration, and I fear my right hon. Friend is not yet in a position to add anything to the answer which he gave on the 7th ultimo to the questions of the hon. and learned Member for West St. Pancras and the hon. Member for Chelmsford.
§ Mr. CASSELCan the right hon. Gentleman say if, when the question has been finally resolved, persons who have been charged will have the money returned?
§ Mr. MASTERMANI cannot possibly make a statement as to that.
§ 19. Mr. ROYDSasked the Chancellor of the Exchequer whether, having regard to the fact that the average yield of Increment Value Duty on 497,148 occasions was rather less than 1s. 3¼d. per occasion and to the fact that the expense on each occasion to the owner was at least £1 1s., apart from the cost to the State, he will introduce legislation to abolish this tax?
§ Mr. MASTERMANThe hon. Member's statement of the average yield appears to be founded on the belief that valuations and assessments have been made in connection with every transaction in land that has taken place since the coming into force of the Finance (1909–10) Act, 1910. I cannot admit that it gives a correct indication of the productivity of the tax. I am not aware on what basis he calculates the expense to the owner, arid it is not proposed to introduce legislation to abolish the tax.