HC Deb 05 May 1915 vol 71 c1114W

asked the Chancellor of the Exchequer if he is aware that the present method of calculation of liability to Super-tax inflicts injustice in the cases of individuals who were liable to Super-tax while actively engaged in business, but whose incomes on retirement from business through ill-health or other causes falls below the Super-tax limit; whether he is aware that in such cases individuals have since 1909 been charged Super-tax for a year more than the number of years in which they have received an income over the Super-tax limit; and whether he will take steps to prevent the Finance (1909–10) Act of 1910 being administered in such a way as to continue this injustice?


Under the existing law the first year for which an individual's income exceeds the limit above which Super-tax liability commences does not count for purposes of assessment to the Super-tax until the year succeeding. It would obviously be unfair to the Revenue if the last year for which the income exceeded the Super-tax limit were not to form the basis of charge for the year immediately following, as otherwise the recipient of a Super-taxable income would pay Super-tax for one year less than the period of his enjoyment of such income.