§ 91. Mr. CHIOZZA MONEYasked what was the amount of Super-tax collected in the financial year 1912–13; how many Super-tax payers were assessed; and what part of the amount collected consisted of arrears?
§ Mr. LLOYD GEORGEThe amount of the Super-tax collected in the financial year 1912–13 was approximately £3,600,000, of which approximately £2,060,000 con- 1381 sisted of sums relating to years prior to 1912–13. The number of Super-tax payers assessed in the course of the year is not available, many persons having been assessed for more than one year.
§ 92. Mr. CHIOZZA MONEYasked with reference to the assessments to Super-tax whether the Inland Revenue authorities content themselves with a statement as to aggregate income, or whether they demand a detailed account of the items forming the income?
§ Mr. LLOYD GEORGEThe form of return called for by the Inland Revenue authorities, of which I am sending a copy to my hon. Friend, will indicate the details of income they require.
§ 93. Mr. CHIOZZA MONEYasked to how many persons application was made in 1912–13 to make a return of income for Super-tax purposes; whether, when such applications are made, it is accepted as a satisfactory reason for non-assessment if the person applied to states that his income does not exceed £5,000, or whether he is asked to declare his income in detail; and, in the latter event, how many individuals have thus declared their incomes?
§ Mr. LLOYD GEORGEFor the year 1912–13 applications have so far been sent to 16,895 persons. A statement that the income does not exceed £5,000 is not accepted as satisfying the requirements of Section 72 (3) of the Finance (1909–10) Act, 1910. The number of the persons, who, having made a statement that their income does not exceed £5,000, have subsequently declared their income in detail, is not available.
§ Mr. CHIOZZA MONEYDoes the right hon. Gentleman consider it sufficient to send the application to such a small number of persons in view of the enormous amount of income assessable to the tax in general, and does not the small number account for the rather unsatisfactory returns of Super-tax?
§ Mr. LLOYD GEORGEI do not accept my hon. Friend's statement. On the contrary, it has exceeded the estimate which I formed of its yield.
§ Mr. CHIOZZA MONEYIs not the yield, although relatively satisfactory, very much less than was expected by many of those who have given a great deal of attention to the subject?
§ Mr. LLOYD GEORGEI take it that by that description my hon. Friend means himself. But there are others, including Sir Henry Primrose, who has paid some attention during his lifetime to the subject, and it exceeded his anticipations.
§ Mr. NEWTONDoes the right hon. Gentleman state as a matter of theory or of practice that the answer that the income does not exceed £5,000 is accepted? Is that merely a theory or is it the practice observed by those who deal with these returns?
§ Mr. LLOYD GEORGEThe rate of Income Tax is not accepted by the surveyor. Otherwise I am afraid the income would be less.
§ Mr. CHIOZZA MONEYSince the method adopted is really a fishing inquiry, does my right hon. Friend not think it would be better to make the declaration of income universal in order to avoid the fishing, and in order to get a better return?
§ Mr. LLOYD GEORGEI do not know whether my hon. Friend suggests that you can send a Super-tax return to all the adult population of this country. Unless you do that, you must exercise some discrimination.
§ Mr. CHIOZZA MONEYIs it not the fact that nine out of eleven Income Tax payers already declare their incomes for Income Tax purposes, and would it not be wise to get declarations from the other two in order to complete the inquiry?
§ Mr. SPEAKERThat is a very proper subject to discuss on the Income Tax Resolution.
§ 94. Mr. CHIOZZA MONEYasked what is the number of persons in the kingdom of Prussia assessed to Income Tax for incomes of £5,000 a year and over, and what is the aggregate income possessed by those persons, for the latest year for which the figures are available in this country?
§ Mr. LLOYD GEORGEThe number of individuals assessed in Prussia in respect of incomes over £5,000 in the year 1911 was 4,138. The aggregate amount of their income has been approximately calculated from the yield, as given in the Prussian Statistical Year Book, to be £51,000,000.