§ 50. Mr. Viantasked the Chancellor of the Exchequer whether his attention has been directed to the decision of the Com missioners of Income Tax that in future, bookmakers, whose runners are found guilty and fined, may deduct such fines as expenses for the purpose of Income Tax assessment; and is it his intention to alter this anomaly in the near future by regulation or otherwise?
§ 53. Mr. Sorensenasked the Chancellor of the Exchequer whether his attention has been drawn to the recent decision that fines paid by bookmakers will count for relief in Income Tax; and whether he proposes to take any action in the matter?
§ Sir J. SimonI assume that the decision referred to is one given by General Commissioners of Taxes on a particular appeal, to the effect that in the computation of the profits of a street bookmaker for assessment to Income Tax under Schedule D sums paid by him to his runners in reimbursement of fines imposed upon them were deductible expenses, as being payments made wholly and exclusively for the purposes of the book maker's business. I do not find in the decision any reason for proposing an alteration of the relevant rule of the Income Tax Acts, which is of general application in the computation of profits of trades and business for Schedule D purposes.
§ Mr. SorensenCan the right hon. Gentleman say how much he is losing by this decision?
§ Sir J. SimonNo I could not say.
§ Mr. CrossleyWhy not legalise book makers?
§ Mr. ViantWill it be in order for a motorist who is penalised; say for obstruction of the highway, to adopt a similar principle?
§ Sir J. SimonI think he would have to show that the outlay was "wholly and exclusively for the purposes of his business."
§ Mr. PooleIs not the ultimate result that the Exchequer is paying in part fines imposed on those who have committed offences against the law?