§ 49. Sir WILLIAM WAYLAND
asked the Chancellor of the Exchequer whether he is aware that, in cases where a claim is made under Section 34 of the Income Tax Act, 1918, for repayment on account of losses in respect of farming sustained by an individual who has substantial unearned taxed income and a limited and small earned income assessable under Schedule E, an entirely different source, from which the earned income relief of one-sixth has properly been given in accordance. with Section 16 of the Finance Act, 1920, as amended by Section 15 of the Finance Act, 1925, it is the practice of the Revenue to limit the repayment due by deducting such earned income relief; and whether, in view of Section 34 of the Income Tax Act, 1918, and Section 16 of the Finance Act, 1920, he will state by what authority this deduction is made?
§ Mr. CHURCHILL
I am aware that the practice of the Revenue authorities in cases of this kind is as my hon. Friend 214 has stated it. It is, of course, open to any taxpayer who disagrees with this view to make application to the General or Special Commissioners in accordance with the provisions of the Section.