§ 18. Mr. Russellasked the Chancellor of the Exchequer if he will introduce legislation to amend Section 186 of the Income Tax Act, 1952, so that a tenant or leaseholder or his agent can claim back tax which has not been deducted from his rent and has been paid in error.
§ Mr. P. ThorneycroftI assume that my hon. Friend has in mind certain defects in the law governing a tenant's right to recover Schedule A tax from his landlord. The Royal Commission on Taxation drew attention to these in its Final Report, and its recommendations on this subject are still under consideration.
§ Mr. RussellCan my right hon. Friend say when a decision is likely to be reached on those recommendations and whether there is any hope of legislation?
§ Mr. ThorneycroftI should not like to commit myself to action in advance of consideration, but I think that all the recommendations on the question of Schedule A ought to be considered together.
§ Mr. BellengerWould the right hon. Gentleman consider that this tax is essentially a landlord's property tax and, therefore, should be collectable from the landlord himself, and that it is only to suit the convenience of the Inland Revenue that it is assessed on the hereditament? When he gives further consideration to this matter, will he bear this very cogent point in mind?
§ Mr. ThorneycroftI will certainly bear in mind anything the right hon. Gentleman says, but his suggestion goes rather wider than the recommendations of the Royal Commission.