§ 31. Mr. Fletcherasked the Chancellor of the Exchequer whether he is aware that luncheon vouchers, issued by firms and subsequently claimed as tax relief 1090 by them, are frequently used, not for the purpose of bona fide luncheons, but in exchange for groceries, cigarettes, and other commodities; and what steps he proposes to take to check the abuse of this system of taxation allowances.
Mr. AmoryI have read reports in the Press both of the misuse of luncheon vouchers and of the efforts of those who organise voucher schemes to stop the misuse. I am keeping the whole question of the taxability of luncheon vouchers under review.
§ Mr. FletcherWould not the right hon. Gentleman agree that this concession for luncheon vouchers is generally welcomed and regarded as beneficial? Indeed, the amount might well be increased. Is it not equally desirable that there should not be any abuse of the system?
Mr. AmoryYes, I wholly agree with that. It was because I realised that this concession was appreciated and was, as I thought, a sensible one that I decided to continue the extra statutory concession, and, provided that abuse does not become substantial, I shall hope to continue doing that. That is why I am watching the situation.
§ Mr. FernyhoughDoes not the right hon. Gentleman agree that there are many bigger expense rackets than this one? If he wants to deal with the bigger anomalies, will he turn his eyes in another direction?
Mr. AmoryI will take note of what the hon. Member has said, but he has not told me in which direction.