§ 73. Mr. DALTONasked the Chancellor of the Exchequer how much Income Tax and Super-tax was lost to the revenue through the false declarations of Sir Walter Cockerline, of Hull; over how many years these false declarations extended; when they were first detected by the Commissioners of Inland Revenue; whether this loss of revenue has now been made good, together with the full pecuniary penalties prescribed by the Law; and whether the Commissioners are proceeding with the prosecution which they initiated against Sir Walter Cockerline?
§ The CHANCELLOR of the EXCHEQUER (Mr. Churchill)The total amount of tax involved in the case to which the hon. Member refers was £107,106; this includes Excess Profits Duty as well as Income Tax and Super-tax, and covers the period from 1913 to 1925. The investigation was commenced in November, 1925. This loss of revenue has now been made good and the full pecuniary penalties amounting to £300,000 have been paid. In view of the defendant's state of health it is proposed not to proceed with the criminal prosecution unless there should have been a material improvement in his health when the case comes up at the York Assizes next week.
§ Mr. DALTONWould the right hon. Gentleman say whether this is to be a precedent, and whether in future people will be permitted to get off if they can produce medical certificates?
§ Mr. CHURCHILLNo, Sir. It is not a question of precedent, but of what is the right action in a particular case under notice.
Mr. BECKETTIs the right hon. Gentleman aware that an unemployed man who is guilty of false pretences does not get off for reasons of health?
§ Mr. SHINWELLDoes the right hon. Gentleman contend that if a person refuses to pay his Income Tax, he can escape when he is in failing health?
§ Mr. CHURCHILLThis man is, I believe, in imminent danger of death. In these circumstances, I am of opinion that it would be unbecoming of the House to interfere with the exercise of discretion by the authorities who have to deal with the matter. They have certainly not been found wanting on the score of ill-health.
79. Captain CROOKSHANKasked the Chancellor of the Exchequer when he expects to publish the memorandum which he has promised dealing with the liability of Dominion and foreign visitors to this country for Income Tax?
§ Mr. CHURCHILLI am not aware that I have promised to issue such a memorandum, and I would remind my hon. and gallant Friend that in my reply to his question of 28th June last I pointed out the difficulty of dealing with this subject in a memorandum. A draft is, however, now being prepared for my consideration.
Captain CROOKSHANKWill my right hon. Friend look into the matter again? It was distinctly said in the House that he would consider publishing the memorandum.
§ Mr. CHURCHILLI am proposing to consider it.