§ 50. Mr. Robert Cooke
asked the Chancellor of the Exchequer whether he will introduce legislation to relieve statutory undertakings from the additional burden of Corporation Tax imposed by the 1965 Budget.
§ Mr. Diamond
I am sure that the citizens of Bristol take a different view from that of the hon. Member as to what their proper responsibilities are. The citizens of Bristol take the same view as the Public Accounts Committee of this House, that it is wrong that an anomaly 1903 should continue to exist as a result of which tax could be deducted from a dividend, the tax reclaimed by the individual taxpayer, and tax not accounted for to the Inland Revenue. It is putting that anomaly right, as the P.A.C. asked that we should do, which accounts for this situation, and it has nothing to do with Corporation Tax—in the sense that any Government would have sought to put it right.