§ 58. Mr. SNOWDENasked the Chancellor of the Exchequer if there are any companies or firms whose principal place of business, as defined for Income Tax purposes as being situated in this country, whose profits are derived from manufacture in India which have been subjected since the outbreak of war to assessments in respect of Income Tax and Excess Profits Duty under the Finance Acts, 1915 and 1916; if so, what is the amount of Excess Profits Duty assessed on such companies; whether any companies so assessed have adopted measures during the past twelve months such as the transfer of the registered office to India, the effect of which is to no longer render their profits liable to the Excess Profits Duty or Income Tax; and whether the Government is aware that there are a number of manufacturing concerns, the principal part of whose capital is owned by persons resident in this country but whose business is carried on in India, who have made profits by the War Office contracts for the manufacture of sandbags and other munitions but who are exempt from Excess Profits Duty?
§ Mr. BONAR LAWThe answer to the first part of the question is in the affirmative, but I could not undertake in the present pressure of public business to ascertain the amount of Excess Profits Duty so assessed. I understand that in a few instances the control and management of such companies have been transferred abroad, but this course of action does not result in any greater immunity from British taxation in respect of the profits arising from the businesses than is the case with other foreign or Dominion companies partly owned by persons resident in this country.