§ 34. Mr. Houghton
asked the Chancellor of the Exchequer what steps he has taken to impress upon bank depositors and others receiving untaxed interest that all amounts of such interest received or credited to their accounts should be entered on their Income Tax returns.
§ Mr. R. A. Butler
The instructions on Income Tax return forms make it quite clear that interest of this kind is liable to tax and should be returned. A 1793 reminder is also being inserted in new Post Office Savings Bank books as they are printed that depositors who make a return for Income Tax purposes should include any interest on the deposits. I am informed that the Trustee Savings Banks are being recommended by the Executive Committee of their Association to put a similar reminder in a reprint of their pass books.