HC Deb 25 May 1916 vol 82 cc2291-2

asked the Chancellor of the Exchequer if his attention has been called to the circular issued by the directors of the Northern Co-operative Society, Limited, drawing attention to the arrangement which has been made of giving a discount on purchases effected without checks, which method is recommended in order to avoid the War Profits Duty which is exacted by the Government, and hoping that it will be largely taken advantage of by customers; and will he say if he intends taking any action to stop such evasion of the Excess War Profits Tax?


I have received no information in regard to this matter, but I will cause due inquiry to be made. As the hon. Member is no doubt aware, the Finance (No. 2) Act, 1915, specifically provides that no deduction shall be allowed in respect of any transaction or operation which artifically reduces the amount to be taken as the profits of a trade.