HC Deb 13 February 1951 vol 484 c198
51. Mr. Maudling

asked the Chancellor of the Exchequer by what authority the Inland Revenue refuse to apply the provisions of Section 32 of the Finance Act, 1921, in respect of pensions of over £2.000 per annum.

Mr. Gaitskell

Where the rules of a superannuation fund provide for the return of contributions in certain contingencies, Section 32 of the Finance Act, 1921, empowers the Commissioners of Inland Revenue to approve the fund, or part of the fund, subject to such conditions as they think proper. In such cases it is the practice of the Commissioners to withhold approval from any part of the fund which provides pensions in excess of £2,000.

Mr. Maudling

In view of the fact that the Inland Revenue are now approving pensions of more than this sum in noncontributory schemes under the 1947 Act, is it not time that the rule was changed to bring it into line with the 1947 Act schemes?

Mr. Gaitskell

No doubt this matter will be considered by the Tucker Committee on the taxation treatment of pensions on retirement. We should await the recommendations of that Committee.