§ 37. Mr. ANDERSONasked the Chancellor of the Exchequer whether he is aware that in estimating the wages of their workpeople for the purpose of Income Tax certain employers are including the 2s. 6d. daily extra allowance paid to workers in respect of lodging and expenses when employed a few days in the week in some place other than their homes; whether it is proper to regard such special allowance as wages and to include it in the returns for Income Tax; and, if not, will he take steps to inform employers and workpeople accordingly?
§ The CHANCELLOR of the EXCHEQUER (Mr. McKenna)Outworking and lodging allowancesߞpaid solely by way of subsistence allowances to workpeople temporarily employed away from homeߞare not regarded as earnings chargeable with Income Tax. The Surveyors of Taxes proceed upon this principle, and if and when the question arises employers and workpeople are so informed.