HC Deb 04 April 1950 vol 473 cc1004-5
50. Mr. G. Williams

asked the Chancellor of the Exchequer what is the reason for the introduction of Purchase Tax on book tallies.

51. Mr. Wyatt

asked the Chancellor of the Exchequer why children's book tallies are subject to Purchase Tax.

Sir S. Cripps

Under the group of the Purchase Tax Schedule which relates to pictures, prints, etc., tax is chargeable on a book tally according to its value as a pictorial article, excluding its exchange value and that value which represents a charge for trade services. Thus, for a book tally which costs 7½d. the wholesale value on which tax is charged is about 0.7d.

Mr. Wyatt

Is my right hon. and learned Friend aware that this scheme is as very ingenious one by which children can be persuaded to save money in sixpences towards buying books for a larger total sum when they have saved sufficient, and that the putting of Purchase Tax on this scheme will prevent the children from doing something which in itself is of educational value?

Sir S. Cripps

I do not think the tax on 7/10ths of a penny will have any marked effect.