§ 45. Mr. LEONARDasked the Financial Secretary to the Treasury whether he is aware that potato dealer-growers are escaping from Income Tax and Super-tax upon their profits owing to the fact that their Income Tax is based on the rent paid to the farmer for his land and not on their profits; and what steps he proposes to compel payment on profits?
§ Major ELLIOTThe position is not exactly as stated by the hon. Member. It is the case that under the provisions of the Income Tax Acts potato growers are assessable under Schedule B on the annual value of the land they occupy and not upon profits. Where, however, they also deal in potatoes, any profits arising in the course of such business are assessable under Schedule D. Any alteration of the basis of assessment would, of course, necessitate legislation.