HC Deb 20 February 1945 vol 408 cc624-5
52. Mr. Liddall

asked the Chancellor of the Exchequer, why, when appeals are properly lodged and pending under Section 24 of the Finance Act, 1943, pressure for immediate payment is made and proceedings taken from which bankruptcy may ensue whilst the case is still undetermined; and whether he will issue instructions that all such proceedings must await determination by the court in this especial type of retrospective assessment notwithstanding the general provisions of the Income Tax Act, 1918.

Sir J. Anderson

In the cases to which my hon. Friend refers, the E.P.T. is properly payable notwithstanding that a case has been demanded for the opinion of the courts. The question of collection of tax due for payment is one for the Commissioners of Inland Revenue and it is for them to decide in particular cases whether proceedings should be instituted for recovery of the tax. I would remind my hon. Friend that Section 24 of the Finance Act, 1943, is concerned with transactions designed to avoid payment of E.P.T., and I can see no reason why the powers of the Commissioners as regards recovery of tax should be fettered in these particular cases as compared with other cases where tax is in arrear.

Mr. Liddall

Notwithstanding any such provision, will my right hon. Friend, in any specific case which I may bring to his notice, in which tax of an amount of, say, £250,000 is claimed, which bears no relation at all to a man's profits or means, stay the threatened proceedings—

Mr. Speaker rose