48. Miss Ward
asked the Chancellor of the Exchequer if he will give an assurance that the 20 per cent. deduction from taxable profits on all expenditure on new plant and machinery, as a contribution for the reconstruction period, will be allowed to shipowners placing orders for new ships as from 25th April, 1944.
§ The Chancellor of the Exchequer (Sir John Anderson)
The initial allowance referred to by my hon. Friend, which I explained in my Budget speech, is to be given as part of the post-war Income Tax policy which is to be the subject of legislation as soon as the details have been worked out. The date from which expenditure will rank for the allowance is one of the matters still under consideration.
Is the Chancellor aware how very important it is to the shipping and shipbuilding industries that an early decision on this matter should be taken?
§ Sir J. Anderson
I made quite clear in my Budget speech the fact that these arrangements would apply to shipping and shipbuilding, and I realise the great importance of the matter in that connection.