§ 57. Mr. A. V. ALEXANDERasked the Financial Secretary to the Treasury whether the wrapping paper duty is being charged on bakilised paper used exclusively for electrical insulation purposes; and, if so, whether the duty is levied on the value of the body-paper or on the manufactured value?
§ Mr. McNEILLI understand that bakelised paper consists of paper with a coating of varnish or other material, and that the body paper is usually of a dutiable description. In such cases, duty is chargeable under Sub-section (2) of Section 11 of the Finance Act, 1926, on the value of the coated paper, as a whole if within the limits of dutiable weight.
§ Mr. ALEXANDERIs the right hon. Gentleman aware that very great inconvenience is being caused in the trade in this insulated paper, and can he now give instructions which will secure that the tax is levied only on wrapping paper as intended by the Act?
§ Mr. McNEILLI am not aware of the inconvenience referred to, but in any case the matter is regulated by Statute and I have no power.
§ Mr. ALEXANDERIs the right hon. Gentleman not aware that it is regulated by the Regulations of the Treasury and not by the Act of Parliament? His Department gives instructions as to whether or not the manufacturing value of paper or only the body value is to be taken into account.
§ Mr. McNEILLIf the hon. Gentleman will look at Section 11, Sub-section (2), of the Finance Act of last year, he will see what is required.