§ 24. Mr. Boyd-Carpenterasked the Chancellor of the Exchequer whether he will introduce legislation to permit employees' contributions to the Government's scheme of National Superannuation to be allowed in full against assessments for income tax.
§ Mr. TaverneNo, Sir.
§ Mr. Boyd-CarpenterDoes not the hon. and learned Gentleman appreciate that the administrative problems of doing this would be resolved by the proposed system of collecting National Insurance contributions through the Inland Revenue? Is it not very unfair that people should pay tax on earnings they do not receive?
§ Mr. TaverneThe answer to the first part of the right hon. Gentleman's question is "No, Sir". There would be P.A.Y.E. difficulties not dissimilar to those which existed in 1959 when he him- 244 self disallowed the graduated contribution for tax purposes. Second, any such concession would have to be paid for, and would be paid for at the expense of the lower-paid for the benefit of the higher-paid. In any event, there is the Exchequer contribution, which is a broad equivalent.