§ 16. Colonel WEDGWOODasked the Secretary of State for the Colonies whether the inhabitants of the old city of Jerusalem are still to be exempted from the future payment of local rates or taxes, in view of the services to be supplied under the new ordinance?
§ Sir P. CUNLIFFE-LISTERIt is not the case that the inhabitants of the old city of Jerusalem have been exempted in the past from payment of municipal rates and they will not be so exempted under the new Municipal Corporations Ordinance. It was, however, the practice under the Ottoman régime to exempt registered owners of immovable property 19 within the old city from payment of house and land tax, which has now been superseded by urban property tax. This practice was continued by the Palestine Government after the War and maintained in the Municipal Ordinance of 1926.
§ Colonel WEDGWOODAm I to understand that this urban property tax does not go to the local authority, but to the central Government?
§ Sir P. CUNLIFFE-LISTERI should require notice of that question.
§ Colonel WEDGWOODWhat are we to understand from that reply? The right hon. Gentleman says that they do pay rates. Do they pay the normal form of income which goes to the municipality in Jerusalem?
§ Sir P. CUNLIFFE-LISTERThe right hon. Gentleman asks me whether certain property in Jerusalem is exempt from the payment of rates. I have given him the answer that it is not exempt from the payment of rates. If he wishes any further information, perhaps he will be good enough to put the question on the Order Paper.
§ Colonel WEDGWOODAre there any rates levied in Jerusalem? Is it not the case that the urban property tax takes the place of rates?
§ Sir P. CUNLIFFE-LISTERThere are rates levied in Jerusalem.