§ 46. Sir PARK GOFF
asked the Chancellor of the Exchequer whether he will consider introducing legislation with a view to clearing up the doubt as to whether an Income Tax payer may charge against the profit arising from the letting of a furnished house the cost of the alternative accommodation that he is compelled to secure in those cases where the transactions are due to the exigencies of the employment of the persons affected?
§ Major ELLIOT
The question raised by my hon. Friend has already been the subject of a decision by the Court of Session. My right hon. Friend is not in favour of the introduction of legislation to modify the effect of that decision which seems to him entirely in accordance with equity.
§ Sir P. GOFF
Is the hon. and gallant Gentleman aware of the hardship that falls on officers, particularly naval officers?
§ 48. Sir WILLIAM DAVISON
asked the Chancellor of the Exchequer, having regard to the terms of reference issued to the Committee to inquire into the present position of co-operative societies in relation to Income Tax, whether the con 1109 sideration of any scheme of taxation other than that of income taxation will be within the scope of the inquiry; and, if not, will the terms be so extended to permit such consideration?
§ Major ELLIOT
The terms of reference of the Committee were announced in answer to a question by my hon. Friend the Member for Bedford, Mid. (Mr. Lennox-Boyd) on the 12th May last. The object of the Government in setting up the Committee was to obtain an impartial opinion on the question whether the present position of co-operative societies under the Income Tax Acts ought to be modified and, if so, what alteration of the law would be required. It was not the intention of the Government that the Committee should inquire into other possible forms of taxation upon the societies.
§ Sir W. DAVISON
Is the hon. and gallant Gentleman aware that, with similar terms of reference, the Royal Commission of 1920 stated that they were precluded from considering what many people think is desirable, namely, that in lieu of paying Income Tax some special tax should be imposed on co-operative societies; and is it not desirable that this present Commission should be given a free hand in this matter?