HC Deb 04 May 1965 vol 711 cc1101-2
29. Mr. Tilney

asked the Chancellor of the Exchequer whether he will seek to amend the double taxation agreement with Nigeria so that the provisions of Section 17 of the Finance Act, 1961, may be implemented and the tax relief granted by Nigeria to assist developing industries not be frustrated.

Mr. MacDermot

We are already in touch with Nigeria about the possible revision of the Double Taxation Agreement.

Mr. Tilney

Can the hon. and learned Gentleman say whether he is also in touch with other developing countries which are very worried about the effect of the Finance Bill on private enterprise investment?

Mr. MacDermot

That goes far beyond the scope of the Question. My right hon. Friend said in his Budget speech that he would be seeking the renegotiation of many of these double taxation agreements.

Sir Rolf Dudley Williams

If the hon. and learned Gentleman does not succeed in negotiating new double taxation reliefs, will he allow the present situation to continue, or will he maintain the withholding tax of 40 per cent. as against the Americans' 15 per cent.?

Mr. MacDermot

This is a matter which we shall debate on the Finance Bill, but it is far outside the scope of this Question.