- (1) Section fifty-four of the Income Tax Act, 1853, as amended by any subsequent enactment, shall apply to all war insurance premiums, whether payable annually or not.
- (2) War insurance premiums shall not be taken into account in calculating the limit of one-sixth of the profits and gains under the proviso to the said Section fifty-four or the limits of 7 per cent, or one hundred pounds under Sub-section (1) of Section seventeen of the Finance Act, 1915.
- (3) In this Section the expression "war insurance premium" means any additional premium or other sum paid in order to ex-tend an existing life insurance policy to risks arising from war or war service abroad, and any part of any premium or other sum paid in respect of a life insurance policy covering those risks, or either of them, which appears to the Commissioners to whom the claim for relief is made to be attributable to those risks, or either of them.—[Mr. McKenna.]
§ Clause brought up, and read the first time.
§ Mr. McKENNAI beg to move, "That the Clause be read a second time."
This new Clause carries out a promise I made yesterday on a point raised by the hon. Member opposite (Mr. Bryce) and by the hon. Member for Dundee. It is moved in order to give the war insurance premiums the benefit of the Act.
§ Mr. BRYCEThe Chancellor of the Exchequer will be thanked by a very large section of the people for this concession. It is a genuine concession made whole heartedly, without any arrière pensée. I do not want to look this gift horse in the mouth.
§ Clause read a second time, and added to the Bill.