HC Deb 01 May 1918 vol 105 cc1651-2

19." That in estimating the amount of annual profits or gains arising or accruing from any profession, trade, employment, or vocation and chargeable to Income Tax under Schedule D no deduction shall be made on account of the annual value of any premises used or occupied for the purpose of that profesion, trade, employment, or vocation if the premises are situated outside the United Kingdom.

And it is hereby declared that it is expedient in the public interest that this Resolution shall have statutory effect under the provisions of the Provisional Collection of Taxes Act, 1913."

Motion made, and Question proposed, "That this House doth agree with the Committee in the said Resolution."

Mr. J. HENDERSON

I understand that this is a proposal made to meet the decision in the Boustead case. The Resolution speaks of "the annual value." I suppose there is no attempt to prevent a trader who actually pays rent from obtaining the deduction, and that this provision only applies where the property belongs to the man himself. Is that not so?

Mr. BALDWIN

I think that is so.

Mr. HENDERSON

I want it to be made clear, because the word "value" might be made to apply to a case where the property did not belong to the man. Another question I wish to ask is whether the taxation under Schedule D is to date only from the 5th April this year, and that it has no retrospective effect? I understand it only deals with cases coming under Schedule D in the current Income Tax year. If that is so, I have no more to say.

Resolution reported,