§ 70. Mr. G. LOCKER-LAMPSONasked the Secretary to the Treasury whether he is aware that charges are sometimes made by solicitors and others for issuing certificates of deduction of Income Tax; whether the Treasury propose to repay the cost of certificates where the same are necessary to prove a person's title to repayment of the excess tax; and whether the Government intend to put down an Amendment to the Finance Bill to provide for this?
§ Mr. MONTAGUI am aware that charges are sometimes made by solicitors and others for issuing certificates required in connection with claims from the revenue for repayment of Income Tax on the ground of exemption or abatement, but in the cases contemplated in the question the adjustment of any tax deducted in excess of the rate ultimately sanctioned is one for arrangement between the parties, and I do not see that any certificate is necessary to ensure that adjustment.
§ Mr. G. LOCKER-LAMPSONCan the hon. Gentleman say whether any expense incurred by the taxpayers owing to the mistake made by the Chancellor of the Exchequer will be made good?
§ Mr. MONTAGUThat is a very general question and I would require notice of it. Every kind of arrangement which can be made will be made to facilitate repayment of the Income Tax deductions necessitated by the change in the rate.
§ 71. Mr. G. LOCKER-LAMPSONasked what is the total amount of the Income Tax repayments and the number of claims made under Section 69 of the Finance (1909–10) Act, 1910, to date in respect of additional allowance for maintenance, etc., of property?
§ Mr. MONTAGUThe total amount of Income Tax repaid under Section 69 of the Finance (1909–10) Act, 1910, up to 30th June, 1914, is £210,727. The total number of claims is 7,208, some of which cover more than one year.
§ Mr. MONTAGUI cannot say without notice. These are the only figures which I have brought down.
§ 93. Mr. G. LOCKER-LAMPSONasked the Chancellor of the Exchequer from whom will the mortgagee claim the excess tax when a mortgagor in paying interest has deducted Income Tax at 1s. 4d. in the £ and the mortgage is now repaid so that the mortgagee cannot adjust the tax on a future payment?
§ Mr. MONTAGUAny deduction in excess of the rate of tax ultimately sanctioned will fall to be repaid or made good by the mortgagor.
§ 94. Mr. G. LOCKER-LAMPSONasked the Chancellor of the Exchequer whether he has made any estimate of the profit which will accrue to the Treasury owing to many persons not reclaiming the excess between 1s. 3d. and 1s. 4d. Income Tax owing to the trouble and expense involved in many cases in such reclaim?
§ Mr. MONTAGUIn view of the facilities for adjustment contemplated in the recently issued circular letter of the Board of Inland Revenue, it does not appear the Exchequer will receive any appreciable amount of tax beyond that properly leviable.
§ 53. Sir ARCHIBALD WILLIAMSONasked the Prime Minister if it is the intention of the Government to appoint a Committee to investigate the condition and effect of the Income Tax laws, including their effect upon British trade and industry outside the United Kingdom as well as within it; and whether, on such Committee, he will appoint representatives of the merchants and bankers engaged in overseas commerce and finance?
§ The PRIME MINISTERI can at present add nothing to what I said yesterday on this subject.
§ Sir A. WILLIAMSONCan we hope that the Committee will report in time for action to be taken on the next Budget?
§ Mr. HARRY LAWSONWill the terms of reference cover the practice and principles of making allowances for depreciation in buildings and machinery?
§ The PRIME MINISTERThat will certainly fall within their scope.