HC Deb 11 January 1916 vol 77 cc1447-8

asked the Chancellor of the Exchequer whether it is the general practice of the Commissioners of Inland Revenue, under Section 22 of the Finance (No. 2) Act, 1915, to assess the holders of allotment gardens for Income Tax under Schedule B on the whole of, instead of on one-third of, the rent which they are paying; whether he is aware that in the great majority of allotment gardens the rent is paid for the use of the land alone, no improvements being supplied by the landlord; and whether he will consider the desirability in such cases of transferring the liability for the tax under that Schedule from the person who is paying the rent to the person who is receiving it?


In common with all other classes of persons assessed to Income Tax under Schedule B, the income of holders of allotment gardens is taken to be the whole of the annual value of their holdings. Only a small proportion of occupiers of allotments would, however, be liable to tax. I would explain that Income Tax, Schedule B, is charged in respect of the occupation of land, and does not relate to the profits of ownership in respect of which tax is borne by the landlord under Schedule A.