HC Deb 12 November 1940 vol 365 cc1577-80
50. Sir Herbert Williams

asked the Chancellor of the Exchequer whether he is aware that the cellulose fabric, used to replace glass broken by enemy action, is subject to the Purchase Tax; and whether he is prepared to make an order exempting this material from the tax?

concerned with the commodity under his control.

Following is the list:

The Chancellor of the Exchequer (Sir Kingsley Wood)

I assume that my hon. Friend refers to the various textile fabrics which are used in part as window substitutes and which are chargeable with Purchase Tax. As I explained to the House when introducing the tax, it is essential that its scope shall be as wide as possible if it is to produce the substantial revenue for which I look. Accordingly I have been obliged to resist many appeals for special consideration and I regret that I am unable to grant exemption in this case.

Sir H. Williams

Will my right hon. Friend reconsider his attitude in respect of this particular material, the use of which saves enormous quantities of timber, and is a most efficient means of providing light and excluding wind and weather; and is he aware that any restriction on its use will have a very adverse effect on the national effort?

Sir K. Wood

I realise that fact, but many of these fabrics used for the repair and strengthening of windows are not specialised for such use, and it has been found impracticable to give exemption to such materials.

56. Mr. Silkin

asked the Chancellor of the Exchequer whether he is aware of the difficulties of wholesalers in settling the amount of Purchase Tax to charge when they deal in goods the rate of Purchase Tax on which depends on their ultimate use and destination; and whether he will, as soon as possible, issue a statement giving necessary guidance to wholesalers on this matter?

Sir K. Wood

I have not heard of any difficulties of the kind mentioned, but if my hon. Friend has any particular cases in mind and will let me have details, I shall be glad to inquiry into them.

62. Mr. Doland

asked the Parliamentary Secretary to the Board of Trade whether he is yet able to state whether the United States Customs have issued an order requiring invoices covering British merchandise shipped to the United States to state clearly whether or not the goods are subject to British Purchase Tax; whether the United States Customs officials will include in the assessed valuation of the goods the Purchase Tax to importers; and what steps will be taken to prevent the prejudicial effect of this upon our export trade to the United States?

Mr. Harcourt Johnstone (Secretary, Department of Overseas Trade)

The answer to the first and second parts of the Question is generally in the affirmative. Details of the information required by the United States Customs authorities were published in the Board of Trade Journal of 7th November. As to the last part, the matter is receiving the Government's earnest attention, but I am not yet in a position to indicate what steps it may be possible to take.